AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights:
- AuM Growth: Ashmore's assets under management rose by 5% in the first quarter, reaching $51.8 billion.
- Emerging Markets Surge: Positive macroeconomic conditions in emerging markets and lower U.S. interest rates contributed to the strong performance.
- Stock Boost: Ashmore’s stock price increased nearly 7% in response to the positive results and outlook.
Emerging market asset manager Ashmore Group (LSE:ASHM) reported a strong performance in the first quarter, with a 5% increase in assets under management (AuM), reaching $51.8 billion by 30 September. This rise was driven by a positive investment performance and an uptick in investor appetite for emerging markets.
The growth in AuM, which increased by $2.5 billion during the quarter, was mainly attributed to a $3.2 billion gain from investment performance, while net outflows amounted to $0.7 billion. Fixed-income AuM saw a 5% rise, reaching $43.3 billion, as various debt categories, including external debt, local currency, corporate debt, and blended debt, benefitted from improved macroeconomic conditions.
In the equities markets, AuM grew by 9% to $7.3 billion, reflecting growing interest in equity assets in emerging markets. However, alternative investments saw a decline, with AuM falling by 8% to $1.2 billion.
Ashmore’s CEO, Mark Coombs, highlighted the favorable macroeconomic environment in emerging markets, with robust conditions supported by lower U.S. Federal Reserve interest rates, a weakening U.S. dollar, and targeted stimulus measures by Chinese authorities. Coombs emphasized that increasing investor appetite for emerging markets is leading to greater allocations to both equity and fixed-income asset classes.
Coombs added that Ashmore is well-positioned to capitalize on this growing momentum and expects to see further improvements in client flows towards emerging markets.
By 1122 BST on Monday, Ashmore’s stock had risen nearly 7% to 208p, reflecting strong investor confidence in the firm’s future performance.
