July 29 (Reuters) – Shares in Jupiter (JUP.L) hit a report low on Friday after the British fund supervisor reported a 20% fall in property beneath administration (AUM) within the first half, as international markets buckle beneath geopolitical tensions and hovering inflation.

Fund managers, who noticed their AUM attain report ranges through the pandemic, at the moment are witnessing a rise in outflows, with traders cautious as Britain’s inflation has scaled a four-decade excessive.

Jupiter noticed web outflows rise to three.6 billion kilos ($4.Four billion) within the six months ended June 30, in contrast with 2.Three billion final yr.

The corporate reported AUM of 48.eight billion kilos, down from 60.5 billion kilos at Dec. 31.

“Our total AUM and web outflow place is disappointing,” mentioned outgoing Chief Government Officer Andrew Formica.

Jupiter final month named Matthew Beesley as CEO, changing Formica who’s leaving after three years. learn extra

Jupiter’s shares hit a low of 117 pence and had been buying and selling at 125 pence at 1017 GMT, down 3.4% and the worst performer within the FTSE mid-cap index (.FTMC).

Jupiter stored its interim dividend at 7.9 pence per share.

However Numis analysts put their ranking on the inventory beneath evaluate, flagging Jupiter could must make future dividend cuts.

“These outcomes had been worse than I feared,” mentioned one main investor, including share value falls over the previous 5 years had been “an appalling instance of the destruction of shareholder worth”.

Jupiter, the second-largest supplier of retail funds in Britain after the acquisition of Merian World Traders, noticed a 67% plunge in its half-yearly revenue earlier than tax to 18.eight million kilos.

French asset administration large Amundi (AMUN.PA) on Friday recorded a 5% fall in AUM within the second quarter. learn extra

($1 = 0.8195 kilos)

Reporting by Sinchita Mitra in Bengaluru and Carolyn Cohn in London
Modifying by Sherry Jacob-Phillips and Mark Potter

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