Ashmore FY AuM slip amid widespread risk aversion

Asset manager Ashmore Group said on Friday that assets under management and earnings slipped in the twelve months ended 30 June as Russia's invasion of Ukraine and inflationary concerns led to widespread risk aversion.

Assets under management declined by 32% year-on-year to $64.0bn, with the majority of the movement attributable to negative investment performance of $16.6bn and net outflows of $13.5bn.

Average assets under management were 7% lower than in the prior year at $83.6bn.

Ashmore said reported EBITDA had fallen from £195.7m in the 2020-21 trading year to £122.3m twelve months later, while reported operating profits dropped from £192.9m to £119.2m.

Pre-tax profits also slipped from £193.8m to £118.4m and revenues contracted from £296.6m to £262.5m.

The FTSE 250-listed group also reported adjusted diluted earnings per share of 18.7p and maintained its final dividend to give a total full-year dividend of 16.9p per share.

Chief executive Mark Coombs said: "While the global macro environment still presents some near-term uncertainty, the situation in emerging markets is improving and the breadth of investment opportunity helps to mitigate the risks. Ashmore's long-term investment approach has been proven across many different market cycles and facilitates access to the exceptionally attractive valuations currently available across emerging markets. Risk appetite will improve as some of the recent macro headwinds abate, supporting a recovery in emerging markets asset prices and higher investor allocations."

Reporting by Iain Gilbert at Sharecast.com