25th Sep 2006 07:03
Aberdeen Asset Management PLC25 September 2006 ABERDEEN ASSET MANAGEMENT PLC TRADING STATEMENT Aberdeen Asset Management is issuing the following trading update prior toentering the close period ahead of the preliminary announcement, on 4 December2006, of results for the year to 30 September 2006. The Group's gross new business for the 11 months to 31 August 2006, includingmandates awarded but not yet funded, totalled £10.7 billion. Net new businessfor the same period totalled £5.2 billion, as shown in the following table.These net flows exclude the movements directly related to the transition of theformer Deutsche Asset Management ("DeAM") equity and multi-asset business andthe withdrawal of certain life company assets following notice given in 2005,this treatment being consistent with the presentation adopted in the interimstatement to 31 March 2006. Funded Yet to fund Total £m £m £mOpen end funds 1,013 - 1,013Segregated account mandates 2,722 674 3,396Closed end funds 30 23 53 -------- -------- -------Total fund management division 3,765 697 4,462Net inflows to property division 409 298 707 -------- -------- -------Group total 4,174 995 5,169 -------- -------- ------- Encouragingly, the net inflow of segregated account business has continued tobecome more diversified across a wider range of asset classes and products, asshown in the table below. Investment performance remains strong with our keyasset classes delivering returns consistently ahead of their respectivebenchmarks, both on a 12 month view and on much longer term bases. Funded Yet to fund Total £m £m £mAsia-Pacific equities 1,308 88 1,396Fixed income 834 404 1,238Global emerging market equities 580 104 684Global equities - 78 78 -------- -------- -------Net new segregated account mandates 2,722 674 3,396 -------- -------- ------- Our closed end funds under management have been boosted by the launch of a $145million US listed fund with a mandate to invest in global emerging marketequities and bonds. This is a welcome move following a period in which thesector was more categorised by ongoing share buy-backs than new issues. The benefit of the income streams from these new business flows will be morefully reflected in the year to 30 September 2007, when the full year's effect of the increased revenue will be seen. The property division continues to make good progress, with further fundlaunches completed and a property capability now present in Singapore.Additionally, some lower margin institutional mandates have been withdrawn,which assists the division in its move to increase the proportion of total AUMinvested in property funds - 22% of the division's AUM at 31 August 2006,compared to 17% at 31 March 2006 and only 9% at 30 September 2005. Despite a more volatile period in global stock markets, further weakness in theUS dollar and the continuing transition of the equity and multi-assetsbusinesses acquired from Deutsche, assets under management at 31 August 2006totalled £71.4 billion, a reduction of only 3.9% compared to the correspondingfigure at 31 March 2006. At the time of announcing our interim results for the six months to 31 March2006 we provided guidance that the contingent consideration to be paid for thepurchase of the DeAM equity and multi-asset business would fall in the range £20 - 25 million. We can now confirm that the consideration payable will be close to £25 million and we would expect the precise figure to be formalised shortly. Underlying this figure is the fact that approximately 50% of these equity and multi-asset mandates had been retained as at 30 June 2006, a pleasingimprovement on our initial expectations. The back office integration continues to progress, with the first phase of themigration of the DeAM funds to BNP successfully completed at the end of June.The remaining two phases are due to be completed by the end of the year. For further information: Maitland 020 7379 5151Neil Bennett ABERDEEN ASSET MANAGEMENT PLC ASSETS UNDER MANAGEMENT AT 31 AUGUST 2006 31 Aug 06 31 Mar 06 30 Sep 05 £m £m £mBy type of mandate:Institutional funds 55,272 56,194 44,633Open end funds 10,397 11,826 9,060Closed end funds 5,269 5,587 5,312Other 510 758 734 ------- ------- ------- 71,448 74,365 59,739 ------- ------- -------By asset class:Equities: UK 10,064 11,255 16,294Asia Pacific 11,648 12,719 8,672North America 1,533 1,827 2,619Europe 1,740 2,173 2,672Japan 1,276 1,455 1,045Emerging markets 896 946 609 ------- ------- ------- 27,157 30,375 31,911Fixed interest & cash 37,655 37,479 22,302Property 6,636 6,511 5,526 ------- ------- ------- 71,448 74,365 59,739 ------- ------- ------- This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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