Liontrust sees AuMA tick higher post year-end after tough March

(Sharecast News) - Asset manager Liontrust said it has benefitted from investors diversifying away from US equities as it reported its lowest quarter for net outflows in over three years. Assets under management and advice fell to £19.6bn by 31 March, the end of the firm's fourth quarter, down from £21.5bn three months earlier with markets significant affected by conflict in the Middle East.

The firm remains in net outflows, but outflows reduced to £0.8bn from £1.0bn in the third quarter and down from £1.3bn the year before.

"Q426 (to 31 March) was the best quarter for net outflows since Q323 and there were actually net inflows in February thanks to another mandate win in the Cashflow Solution team," said Berenberg in a research report.

Meanwhile, AuMA had improved to £20.8bn by 20 April, the company noted, and there has been two more new mandate wins totalling £500m since the fiscal year-end. These are expected to be funded before the end of May.

"This more positive outlook for flows reflects the expansion of Liontrust's international distribution. We are extending our reach in the Middle East and Asia and have continued to make further progress in Europe," said chief executive John Ions.

"Liontrust is benefiting from investor diversification away from US equities and increasing demand from clients for active management, led by strong performance across our European strategies."

The stock was up 1.7% at 273.94p by 0957 BST.

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