Polar Capital Holdings plc, the specialist active asset management group, has reported a 9% rise in assets under management (AuM) from March end 2024 to December 31, 2024.
AuM increased from £21.9bn in March 2024 to £23.8bn on 31 December 2024. Net inflows during the nine months amounted to £0.2bn, while fund performance and market movements contributed an additional £1.8bn to AuM. The increase was partially offset by fund closures totalling £0.1bn.
Gavin Rochussen, CEO, highlighted the resilience of the firm’s AUM growth. “Despite a late December 2024 sell-off in global equity markets and net outflows during the final calendar quarter, AuM increased to £23.8bn at the end of the period.”
Polar Capital reported mixed flows for the quarter, with the Emerging Market Stars funds and managed accounts attracting £240mn in net inflows, while the Artificial Intelligence Fund added £14mn. However, these gains were outweighed by net outflows from the European Opportunities Fund (£158mn), Global Technology Fund (£123mn), and UK Value Fund (£92mn), alongside the planned closure of the Forager European Long/Short Fund (£100mn).
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The overall net outflows for the quarter totalled £360mn, an improvement compared to £1.1bn in net outflows during the same period last year, he added. Rochussen attributed the “concentrated October outflows of £301mn” to broader industry trends, including uncertainty surrounding the UK Chancellor’s Autumn Budget.
November saw a reversal with net inflows of £17mn, while December recorded more modest outflows of £76mn.
Net performance fee profits for the nine months ending December 2024 totalled £8.3mn, compared to £9.6mn in the prior year. This figure included approximately £0.8mn of deferred adjustments. While five funds earned performance fees, the majority of profits were attributed to one fund, shared the asset manager.
Rochussen commented: “Performance fee profits increased from £0.7mn in September 2024 to £8.3mn in December, demonstrating the strength of our specialist fund strategies. Long-term performance remains robust, with 89% of Ucits AuM outperforming respective benchmarks since inception.”
“We are confident in our ability to deliver strong performance for both our clients and shareholders over the long term,” he added.
