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Money Management

Ashmore AUM up 5% over the quarter on $1.2 billion in net inflows

Ashmore Group's assets under management grew 5% in the quarter ended June 30 to $58.7 billion, as the emerging markets specialist recorded net inflows of $1.2 billion, according to a financial update Friday.

For the year ended June 30, assets under management grew 11.6%.

The quarterly net inflows compared with net inflows of $1.4 billion for the previous quarter and net outflows of $700 million for the year-earlier quarter.

Assets grew across almost all strategies, the financial update said. Corporate debt assets grew 14.5% over the quarter to $6.3 billion, while equities strategies grew 9.7% to $3.4 billion. Blended debt assets grew 7.4% to $14.6 billion, and alternatives assets increased 6.7% to $1.5 billion. External debt grew 3.1% to $13.3 billion, and local currency assets increased 1.5% to $13.7 billion. Multiasset and overlay/liquidity strategies were flat over the quarter at $1.1 billion and $4.8 billion respectively.

Investment performance added $1.6 billion to assets under management for the quarter.

Ashmore said in a statement accompanying the update that gross redemptions fell quarter-over-quarter. The firm's inflows came from a number of client types, across new allocations, as well as additional allocations from existing clients.

Net inflows were recorded in blended debt, corporate debt, equities and alternatives strategies. Flows were flat in external debt, multiasset and overlay/liquidity, but local currency saw a net outflow due to a large institutional account redemption, the update said.

"Emerging markets asset prices have started to reflect the resilient fundamentals of the underlying economies, and investor activity levels are responding," said Mark Coombs, CEO at Ashmore Group in the update. "Looking ahead, there is substantial absolute and relative value still available in emerging markets, and investor allocations have much further to run from their significantly underweight levels."