Henderson declines on falling equity prices

Fund manager Henderson lost more than 3.5% on its share price after equity prices fell during the third quarter.

The group saw equity markets decline between 12% and 26% during the period, leading to a £9bn decline in assets under management to £65.4bn.

Chief executive Andrew Formica said: 'Markets were extremely challenging over the period, with significant economic concerns developing in the eurozone. Although property and fixed income valuations were broadly unaffected, equity prices fell sharply as investors lowered their risk appetite and switched into cash.

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"Investors have taken some comfort from the statement by the eurozone last week but, as evident this week, there are many stages to go through before the package of measures is fully implemented.

"We therefore anticipate uncertain and volatile market conditions for at least the remainder of this year. However, as we saw post 2008/2009, once volatility subsides, investor demand for equities should return."

At the end of the period the firm had total assets of £736.4m (30 June: £727.4m) including cash of £166.5m (30 June: £156.0m).

The share price fell 3.58% to 110.3p by 13:13.

NR