Demand For Man Group's Hedge Funds Remains Strong

by Carla Johnson, Investors Offshore.com

15 July 2008

Man Group plc, the world's largest listed hedge fund manager, has reported strong demand for its hedge fund products from both private and institutional investors in the company's first quarter.

In its Quarterly Funds Under Management Statement for the quarter which ended on 30th June, 2008, Man Group reported sales of USD5bn. The three months sales comprised guaranteed products which accounted for USD2.2bn; open-ended private investor sales for USD1.3bn; and institutional sales for USD1.5bn.

"This success in asset raising reflects the Group's broad geographic presence and the continued attraction of conservatively structured alternative investment products," Jon Aisbitt, Chairman of Man Group, explained in a prepared statement delivered at the company's AGM on Thursday.

"We have also benefited from reduced redemption rates in the quarter which, combined with positive performance across our core investment managers, has increased Group funds under management from USD74.6bn at 31 March 2008 to USD79.5bn at 30th June 2008," he added.

The split of funds under management is private investor USD48.3bn (31 March 2008: USD43.5bn) and institutional USD31.2bn (31 March 2008: USD31.1bn).

Man Group also reported positive performance across its range of funds in the three months to the end of June, with AHL up 3.8%, Glenwood up 2.4%, Man Global Strategies up 1.7% and RMF up 2.5%.

Redemptions for the three months to 30th June 2008 totaled USD2.5bn, of which private investor were USD1.5bn. Positive investment movement was around USD1.7bn with FX and other movements adding USD0.7bn.

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