More than $1.6bn (£1.29bn) was withdrawn from Man Group funds during the first quarter of the year, the company has revealed.
Analysts at Jeffries had predicted positive net inflows of around $1.3bn.
The FTSE-250 fund manager also reported a 4.9 per cent increase in assets under management (AUM) over the same time period, bringing total AUM to $175.7bn as of 31 March 2024.
Read more: Man Group drops GLG, Varagon brands amid credit push
On a year-on-year basis, total AUM across all funds has increased by more than 21 per cent. This was due to a $9.8bn positive swing in the group’s investment performance.
The fund manager’s alternative strategy was worth $111.3bn by the end of the first quarter, despite $3.2bn in outflows. The group also reported that its US direct lending AUM fell to $10.7bn in the first quarter, down from $10.8bn the previous quarter.
Man Group has been making a push into the credit markets in recent months. In February, the company retired the GLG, Man Global Private Markets and Varagon brands, and reorganised its discretionary trading units with a view to bolstering its credit credentials.
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“Occasional road bumps are not unexpected at Man, but the fact that AUM — including absolute return, driven by strong performance and despite the outflows — is at record highs demonstrates the enduring and more consistent growth in management fee profitability,” Jefferies said, after the results were announced.
Following the first quarter results presentation, Man Group’s share price fell by almost five per cent.
Read more: Man Group looks to balance liquidity more between managers and investors
