25th Sep 2007 07:04
Aberdeen Asset Management PLC25 September 2007 Tuesday 25 September 2007 ABERDEEN ASSET MANAGEMENT PLC TRADING STATEMENT Aberdeen Asset Management is issuing the following trading update prior toentering the close period ahead of results for the year to 30 September 2007,which will be announced on 3 December 2007. Assets under management ("AUM") at 31 August 2007 totalled £91.0 billion, anincrease of 13.2% on the corresponding figure at 31 March 2007. The mostsignificant contribution to the growth in AUM has been from net new businessinflows, which have continued at a healthy rate, with a diversified range of newbusiness wins achieved against a backdrop of increasingly volatile global stockmarkets. The Group's gross new business generation for the 11 months to 31August, including mandates awarded but not yet funded, totalled £24.2 billion.Net new business for the same period totalled £11.8 billion, of which £8.1billion had been funded by 31 August and is included in assets under managementat that date. The composition of these net inflows was as follows: Funded Yet to fund Total £m £m £mEquities:Segregated mandates 2,961 824 3,785Funds (155) - (155) ---------- ---------- --------- 2,806 824 3,630 ---------- ---------- ---------Fixed income:Segregated mandates 4,416 1,823 6,239Funds 411 - 411 ---------- ---------- --------- 4,827 1,823 6,650 ---------- ---------- ---------Multi asset:Segregated mandates (1,176) 95 (1,081)Funds 3 - 3 ---------- ---------- --------- (1,173) 95 (1,078) ---------- ---------- ---------Property:Segregated mandates (456) - (456)Funds 2,111 917 3,028 ---------- ---------- --------- 1,655 917 2,572 ---------- ---------- ---------Group total 8,115 3,659 11,774 ---------- ---------- --------- New business generation has been led by the fixed income division, withparticularly strong inflows into global and US mandates and good levels of winsin UK, emerging markets and European mandates. The fixed income team hasdeliberately avoided exposure to US sub prime mortgages and CDOs and this leavesthe Group well positioned to continue to win new business. The team'sdemonstrable capability in managing liability driven investment ("LDI") mandatesalso bodes well for the future. New business in equities has been welldiversified, with strong inflows in global equities and global emerging marketequities and UK and Asia Pacific equities also contributing to the total. We continue to see healthy interest in our equity and fixed income capabilitiesfrom a wide range of investors based around the world, particularly from thosein Europe, the US and the Middle East. Growth in the property division continues apace, with strong interest in avariety of new fund launches, offering exposure to a range of regions andsectors, including Pan-Nordic, France & Southern Europe and European retail. Weannounced earlier this month the launch of a second Asian fund of propertyfunds, which follows on from the successful closing of the Group's first suchfund at its maximum capacity of US$600 million on 3 September 2007. These fundsaim to meet the continued strong demand from institutional investors forexposure to Asian property, with European investors increasingly looking todiversify their portfolios away from domestic and regional property assets. Itis also encouraging to note that, despite the challenging backdrop of the UKcommercial market, the UK property team have achieved their first mandate winsince joining the Group in the summer. The organic growth described above has been supplemented by two smallacquisitions which have been completed in recent months. On 1 June we completedthe purchase of certain Australian asset management businesses from DeutscheAsset Management. This transaction added approximately A$10.9 billion (£4.6billion) of AUM, principally fixed income, in return for cash consideration ofA$112 million (£47 million). On 24 August the purchase of Glasgow InvestmentManagers was completed, adding a further £429 million of AUM, principally in UKhigh income investment trusts, for a cash consideration of approximately £8.25million. We have also announced that we will enhance the Group's presence in the USmutual fund sector with the purchase of certain US equity sub-advisory mandatesfrom Nationwide Financial Services. This transaction will be completed on 1October 2007 and will broaden Aberdeen's US equity capability and extend thescope of the Group's global product offering. The Group issued US$400 million of Perpetual Subordinated Capital Securities inthe Asian retail market in May. The issue, which will be treated as an elementof equity, has introduced additional flexibility to the Group's capitalstructure. The proceeds of the issue have been used to finance the acquisitionsmentioned above, to repay outstanding bank debt and to finance the purchase of15.5 million ordinary shares by the Group's Employee Benefit Trust. The requirements of the Transparency Directive will be effective for the Group'sfinancial year to 30 September 2008. Whilst this will have no effect on thereporting dates for interim and annual results, the Directive introduces arequirement for companies to issue an Interim Management Statement ("IMS")within a specified range of dates in each half year period. As a result, theBoard intends to replace the issue of pre-close period trading statements withIMSs to be released during January and July each year. - END - For further information Neil Bennett / Charlotte WalshMaitland 020 7379 5151 ABERDEEN ASSET MANAGEMENT PLCASSETS UNDER MANAGEMENT AT 31 AUGUST 2007 31 Aug 07 31 Mar 07 30 Sep 06 £m £m £mBy type of mandate:Institutional funds 70,884 62,623 56,498Open end funds 13,797 11,918 10,835Closed end funds 5,861 5,426 5,392Other 456 447 445 --------- --------- --------- 90,998 80,414 73,170 ========= ========= =========By asset class:Fixed income 43,573 38,254 35,315Equities 32,160 28,102 24,567Property 9,000 7,731 6,588Multi asset 6,265 6,327 6,700 --------- --------- --------- 90,998 80,414 73,170 ========= ========= ========= This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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