Investors in Jupiter take profits despite reports of 'good' Q4

Jupiter Fund Management reported 'another good quarter', but it wasn't enough to stop broker Peel Hunt downgrading the stock from 'buy' to 'hold'.

Jupiter Fund Management reported 'another good quarter', but it wasn't enough to stop broker Peel Hunt downgrading the stock from 'buy' to 'hold'.

The group appeared to have a strong fourth quarter in both mutual fund flows and segregated mandates wins, and reported an increase in assets under management to £26.3bn.

Net mutual inflows in the three month period totalled £490m, helped by a strong investment performance, while cumulative net mutual inflows were £1.6bn.

Edward Bonham Carter, Chief Executive, commented: "Jupiter achieved another good quarter, driven by continued positive momentum from our mutual fund franchise. This supported overall net inflows of over £680m and led to AUM increasing to £26.3bn at the year end."

The group added: "Although industry conditions remain challenging, investor sentiment appears to have improved towards the end of the year [...] Inflows continued into funds positioned towards the cautious end of the risk spectrum, such as Merlin Income and Strategic Bond, and we also experienced inflows into top-performing equity funds, such as UK Special Situations and the European Growth SICAV. These flows, together with improved market levels, led to mutual funds AUM increasing to £20.6bn at December 31st.

"While we have seen strong mutual funds flows in the second half of 2012, we remain cautious on the short-term outlook due to continued market uncertainties. The long-term growth prospects for the savings market remain promising and we will continue to focus on delivering outperformance for our clients and investing in our distribution capabilities."

Peel Hunt boosted its target price on the stock from 300p to 350p.

The share price fell 2.92% to 315.50p by 10:00.

NR

Recommended

HubSpot: a tech stock set to tumble
Trading

HubSpot: a tech stock set to tumble

US tech stocks have had a fantastic couple of years. But this year is unlikely to be so bullish for high-fliers that can’t turn big profits.
18 Jan 2022
How to be better at selling stocks
Investment strategy

How to be better at selling stocks

There is plenty of advice around about buying stocks, but not so much about when you should sell. John Stepek explains the two key things to know abou…
14 Jan 2022
Share tips of the week – 14 January
Share tips

Share tips of the week – 14 January

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
14 Jan 2022
Fintech: how to profit as technology transforms banking around the world
Share tips

Fintech: how to profit as technology transforms banking around the world

Financial technology – from apps to APIs to the cloud – is rapidly transforming financial services. This will spell doom for some incumbent firms, whi…
14 Jan 2022

Most Popular

US inflation is at its highest since 1982. Why aren’t markets panicking?
Inflation

US inflation is at its highest since 1982. Why aren’t markets panicking?

US inflation is at 7% – the last time it was this high interest rates were at 14%. But instead of panicking, markets just shrugged. John Stepek explai…
13 Jan 2022
Interest rates might rise faster than expected – what does that mean for your money?
Global Economy

Interest rates might rise faster than expected – what does that mean for your money?

The idea that the US Federal Reserve could raise interest rates much earlier than anticipated has upset the markets. John Stepek explains why, and wha…
6 Jan 2022
Tech stocks teeter as US Treasury bond yields rise
Tech stocks

Tech stocks teeter as US Treasury bond yields rise

The realisation that central banks are about to tighten their monetary policies caused a sell-off in the tech-heavy Nasdaq stock index and the biggest…
14 Jan 2022