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

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Oil producers are back at their Covid-19 lows – is it time to buy?
Oil

Oil producers are back at their Covid-19 lows – is it time to buy?

With demand for oil hammered by Covid-19 and talk of “peak oil demand”, there are lots of good reasons to be bearish on oil producers. So, asks John S…
22 Sep 2020
IAG's share price is ready for take-off - here's how to play it
Trading

IAG's share price is ready for take-off - here's how to play it

The owner of British Airways has had a turbulent year, but is now worth a punt. Matthew Partridge explains the best way to play it.
8 Sep 2020
Will a second wave of Covid lead to another stockmarket crash?
Stockmarkets

Will a second wave of Covid lead to another stockmarket crash?

Can we expect to see another lockdown like in March, and what will that mean for your money? John Stepek explains.
18 Sep 2020