Fund firm Aberdeen hit by fresh outflows in the December quarter

[LONDON] Aberdeen Asset Management said total assets under management fell to 302.7 billion pounds (US$383.22 billion) in the three months to the end of December, as demand from clients to withdraw cash more than offset market gains.

Net outflows in the period totalled 10.5 billion pounds, which was partly offset by 3.3 billion pounds in asset appreciation, it said in a statement.

Aberdeen said the bulk of the outflows were from lower margin products, and were largely anticipated.

While investor sentiment had been improving steadily during the early part of the fourth quarter, demand stalled following the US presidential election result, it added.

Looking ahead, it said a further 2.4 billion pounds in assets was scheduled to be withdrawn from lower-margin portfolios during the current quarter.

REUTERS