Alternative Investments/Hedge Funds: Man Group Reports Alternatives Funds AUM At $77.2B
Man’s alternatives range drew $4.3 billion of positive investor flows during 2020.
Man Group (LON: EMG), the listed London-headquartered global hedge fund group, reported a strong set of numbers for 2020. Aggregate AUM moved up sharply to a record $123.6 billion as of end-December. Despite the pandemic, Man attracted net investor inflows of $1.8 billion, which reversed 2019’s outflows of $1.3 billion. (HedgeWeek)
An exceptional and challenging year
Luke Ellis, Chief Executive Officer of Man Group, said that Man delivered a strong set of financial results in a challenging environment, demonstrating both growth and resilience.
“Last year was an exceptionally difficult time for much of the world, with COVID-19 fundamentally changing our day-to-day lives and how businesses operated,” Ellis explained.
Yet the firm increased its management fee profits and dividend to shareholders and grew client assets to end the year at a new record high for funds under management.
Alternatives do well
Man’s alternative strategies include absolute return, total return, and multi-manager solutions. AUM grew to $77.2 billion by 31 December 2020, up sharply from the previous quarter’s $72.4 billion, and from 2019’s annual total of $71.5 billion.
- Absolute return strategies increased to $34 billion in 2020 from $30.5 billion in 2019.
- Total return strategies added $2 billion year-on-year, from $27 billion in 2019 to $29 billion last year. These include alternative risk premia, private markets, CLOs, and emerging market total return funds.
- Multi-manager solutions meanwhile rose from $14 billion to $14.2 billion.
On an aggregate basis, the group’s alternatives range generated $1.5 billion of investment performance and drew $4.3 billion of positive investor flows.
Performance of individual alternative strategies in 2020
- AHL Diversified, the systematic CTA strategy gained 11%
- GLG Global Multi-Credit Strategy advanced 8%
- AHL Alpha gained 7.9%
- GLG European Long/Short Fund, GLG Alpha Select Alternative, and AHL Target Risk each generated returns of more than 5%
- AHL Evolution was up about 4%
- GLG Global Emerging Markets Debt Total Return gained 3.5%
- FRM Diversified II, the multi-manager hedge fund was up 2.6%
- Alternative Risk Premia lost 10.6%
- AHL Dimension lost 8.5%
Man is the world’s largest listed hedge fund manager. For 2020, though pre-tax profits fell 42% year-on-year, it increased dividends for shareholders by 8%.
Latest Alternative Investment News
The $110 million comprised both debt and equity capital. Zilch, the UK-based BNPL platform has raised an additional $110 million from Goldman Sachs and DMG Ventures. The funding is part…
A market survey by alternatives technology provider Vidrio Financial shows that fears of inflation have helped move substantial fund allocations during the first half of 2021 to alternative assets such…
Global X, the New York-based ETF provider and subsidiary of $560 billion investment manager Mirae Asset, has filed with the SEC for permission to launch a bitcoin ETF titled the…
Four news bites that show cryptos are hanging on, recent crashes notwithstanding. From bitcoin ATMs to crypto FOMO, here goes….