Man Group faces almost USD 9bn redemptions in H1 2016
London-based hedge fund Man Group has been hit by volatility, reporting USD 8.8bn (€8bn) redemtions in the first half of 2016.
Man Group already faced challenges last year. During the first half of 2015, it reported USD 13.1bn (€11.9bn) of redemtions. Consequently, compared to the previous year, the volume of redemtions had slowed down somewhat during the first half of 2016.
In terms of net sales, the group reported an improvement, from net outflows of USD 2.6bn (€2.4bn) in the first half of last year to net inflows of USD 1bn (€0.9bn) this year.
Redemtions were largely driven by challenges to the group’s long-only strategies at the beginning of the year, which turned out to be unusually volatile, however, the group’s momentum strategies were able to capitalise on volatility of the post-Brexit environment, according to group CEO Manny Roman, who is set to leave the group in order to join fixed income giant Pimco later this year. Roman will be replaced by Luke Ellis as of 1 September 2016, the group announced.
Man Group announced an interim dividend of 4.5 cents per share, below the 5.4 cents per share allocated last year.