Join our daily newsletter At The Bell to receive exclusive market insights
- Global investment business Pendal Group (PDL) reports net fund outflows of $6.8 billion for the December quarter
- In its latest update Pendal revealed total funds under management at December totalled $135.7 billion, marking a 2.5 per cent drop from September
- In the quarter Pendal was hit with two redemptions in its UK business which saw outflows of $5.1 billion in segregated mandates, primarily in the Global Opportunities strategy
- Group CEO Nick Good labelled the quarter disappointing and says the company is responding with a clear set of actions
- Shares dropped 18.4 per cent to trade at $4.85 at 1:42pm AEDT
Global investment business Pendal Group (PDL) has seen net fund outflows of $6.8 billion for the December quarter.
The company’s share price dropped as it released its funds under management update revealing its total funds under management at December totalled $135.7 billion, marking a 2.5 per cent drop from September.
In the quarter Pendal was hit with two redemptions in its UK business which saw outflows of $5.1 billion in segregated mandate, primarily in the Global Opportunities strategy.
Across its Australian funds, outflows of $800 million were reported in the institutional channel primarily in Australian equities and fixed income.
Pendal also experienced outflows of $500 million for its US business after partial redemptions across a number of strategies.
The company also reported J O Hambro Capital Management (JOHCM) performance fees of approximately $43.4 million for the 12-month performance period to December 31, which compares to $41.2 million in the prior year.
The quarter has been labelled “disappointing” by group CEO Nick Good who said the company is responding with a clear set of actions.
“Pendal continues to invest in distribution in key target markets, is working closely with fund managers to strengthen investment performance, and has launched new impact and thematic products that are quickly gaining traction and meeting the changing needs of clients.”
Shares dropped 18.4 per cent to trade at $4.85 at 1:42pm AEDT.
