Aberdeen reports slowdown in new inflows
Fund manager Aberdeen Asset Management reported a slowdown in new client inflows in its third quarter as global economic uncertainties dampened demand for its fund products.
Aberdeen said it attracted £300m of new client cash in the three months to end-June, bringing its assets under management to £182.7bn, down slightly on three months earlier.
The inflows marked a sharp slowdown from the £700m of net new business reported in the previous year.However, the company continued to attract more money than investors redeemed in the period.
Inflows were focused on its higher margin equity products while ouflows came from its lower margin products. The quarter’s flows will add around £15m in annualised fee income, Aberdeen said.
After a strong first three months of the year, fund managers had a tougher time in the second quarter, as renewed worries about the Eurozone debt crisis and an economic slowdown lowered investor appetite for taking on more risk.