Market jitters saw Jupiter Fund
Management’s inflows fall by more than
half in H1 2016, though the firm’s pre-tax
profits continued to rise.
Net inflows of £600 million for the six
months to 30 June represented a 57%
slide on same period a year earlier, a
slowdown which CEO Maarten
Slendebroek (pictured) attributed to the
challenging market backdrop.
Nevertheless, Jupiter’s assets under
management increased by 7.9% year-on-
year to hit £37 billion, £1.3 billion of
which was accrued during the past six
This translated to H1 2016 adjusted
earnings before interest, tax, depreciation
and amortisation (Ebitda) of £84.7
million, leaving the firm on track to better
2015’s full-year total, although the
adjusted Ebitda margin fell slightly to
Profit before tax hitting £86.6 million –
up 3% on the same time-frame last year –
also remains in line for FY 2016 profits
surpassing last year’s £164.6 million
As such, Jupiter has upped its interim
dividend payment to 4.5p per share – a
12.5% rise on the comparable period in
Slendebroek said that following the
‘strong investment outperformance’ the
firm must now weather what will likely be
a prolonged period of marked uncertainty
in global markets.
‘Net flows were positive despite the
market backdrop and we made further
targeted investments to support our
strategy of diversification by product,
client type and geography which
continues to deliver on behalf of our
clients and shareholders,’ he said. ‘Since
the end of June, we have continued to see
net flows into our products.
‘Jupiter is well-prepared for a period of
potentially heightened volatility and
remains focused on accessing the
opportunities presented by long term
demographic changes to deliver growth in
a disciplined manner for our shareholders
and clients.’