Liontrust Asset Management (LSE:LIO) reported a sharp quarterly rise in assets under management after completing its acquisition of River Global, while investor withdrawals eased significantly from a year earlier.
Assets under management and advice rose to £24.3 billion at the end of June from £19.6 billion three months earlier, reflecting £3 billion of assets added through the River Global acquisition, which completed on 30 June. Assets stood at £24.0 billion on 17 July.
The specialist fund manager recorded net outflows of £357 million during the quarter, an improvement on the £1.1 billion withdrawn in the same period last year. Positive market performance contributed £2.1 billion to assets over the quarter.
Chief executive John Ions said the acquisition broadened Liontrust's investment capabilities and strengthened its fund range, with River Global bringing several strongly performing strategies into the business.
He added: "The growing strength of our global distribution, client engagement, marketing reach and brand is reflected in recent mandate wins and improving net flow trends. Combined with our broader investment capabilities, this leaves Liontrust well placed to capitalise on the opportunities ahead."
The quarter included £520 million of gross institutional inflows, although these were more than offset by £822 million of net retail outflows. Institutional assets increased to £3.7 billion, while UK retail funds and model portfolios remained the group's largest business with £17.7 billion under management.
Liontrust's investment trust assets increased to £1.27 billion from £1.06 billion, largely reflecting the addition of one from River Global as well as positive market performance. Liontrust now manages three investment trusts: Edinburgh Investment Trust (LSE:EDIN), India Capital Growth Fund Ltd (LSE:IGC), and now River UK Micro Cap Ltd (LSE:RRMC).
