Premier Q2 Inflows Shrink To £3m

In the three months to 31 March 2019, AIM-listed Premier's assets under management (AUM) stood at £6.8bn, higher than the same period last year when AUM was £6.4bn in spite of the various headwinds facing the asset management space.

However, net inflows for the period was recorded at £3m, compared to last year's Q2 inflows of £175m, while the six-month comparable net inflow figures for 2019 and 2018 were £67m and £411m, respectively.

Chief executive Mike O'Shea cited continued Brexit-related uncertainty, low investor confidence and market volatility as contributing factors to the group's results.

That said, the group is optimistic for the future, while pleased with its positive relative position on flows - especially into its multi-asset funds.

O'Shea said: "Notwithstanding net outflows for the industry as a whole, it is encouraging to note that support for our multi-asset funds remained positive, albeit at lower levels during this more difficult period, with net inflows of £125m over the six months.

"In common with much of the industry, we did however experience net outflows from our UK equity funds, a sector which has been out of favour with investors for some months now."

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Further, the board has approved an increase in Premier's quarterly dividend payment year-on-year, from 1.65p per share to 1.70p per share.

The ex-dividend date will be 2 May and the associated record date will be 3 May 2019. The payment date will be 7 June 2019.

Premier also said overall fund performance, net of charges, remains "strong".

Over three years to 31 March 2019 72% of AUM were above median, while over five years that figure rose to 83%.

Overall, Premier reported 24 successive quarters of positive net inflows.

O'Shea added: "Looking forward, we continue to believe the combination of our relevant product range, investment performance record, strong brand and distribution capabilities, means we are well placed to help our clients in these challenging conditions and when the investment environment and confidence improves."