Specialist emerging markets investor Ashmore is back on track after posting its second quarter of net inflows, at $1.2bn.
The group’s assets under management for the period ending 30 June 2017 increased by $2.8bn to $58.7bn, with the remainder of the increase coming from investment returns.
The positive figures follow net inflows of $1.4bn at the end of the third quarter in March 2017, although investment performance in Q4 was down from $2.3bn in Q3 to $1.6bn.
The company’s Q4 report said emerging markets had performed well over the quarter, both in absolute terms and relative to developed markets. “Ashmore’s investment processes continue to deliver strong outperformance versus benchmarks,” it said.
Accelerating economic growth
The best investment performance came from local currency, external debt and corporate debt, while equities and multi-asset strategies also made positive returns.
Ashmore CEO Mark Coombs said: “Ashmore delivered the anticipated return to net inflows this quarter, generated from a diverse range of existing and new clients, and the group’s investment processes are continuing to deliver strong performance over one, three and five years.
“The outperformance of emerging markets reflects accelerating economic growth and attractive absolute and relative valuations across emerging markets equity and fixed income markets. This increases the pressure on investors to address their underweight allocations.”