Jupiter Fund Management posts rise in AUM but warns sentiment has shifted

(Sharecast News) - Jupiter Fund Management reported a rise in assets under management on Tuesday although it cautioned that market sentiment has shifted "materially" in recent weeks due to geopolitical events. In an update for the three months to the end of March, Jupiter said total assets under management grew 27% since year end to a record £68.4bn.

This was driven by the completion of the CCLA Investment Management (CCLA) acquisition - which added £15bn of AUM - and another quarter of positive net inflows, partially offset by the impact of geopolitical events in March. Over the quarter, total assets under management increased by £14.4bn.

Jupiter said it continued to generate positive net inflows, with £1.5bn in the first quarter. Retail & Wholesale and Institutional client channels generated £1.7bn of net inflows. As expected, this was partly offset by small net outflows in CCLA managed strategies.

While the first two months of the year saw strong positive market movements and good flow momentum, "this was inevitably impacted by geopolitical events", Jupiter said. Still, the company generated "small" positive net inflows in March across both the Retail & Wholesale and Institutional client channels.

"Market sentiment has clearly shifted materially in recent weeks in response to geopolitical events," it said.

"It is too early to tell if this represents a sustained change in client appetite towards risk assets or whether it will be more short-term and transitory. Despite the external environment, Jupiter remains in a stronger position today than we have been for a number of years and, with a broader, more diversified set of investment capabilities, are well-placed to take advantage of the opportunities that lie ahead."

See latest RNS on Investegate