The loss of the £329m Verbatim Funds mandate was the biggest contributing factor to Liontrust reporting net outflows of £432m for the first quarter of 2022.
The FTSE 250 fund manager recorded net inflows of £958m during the same three months last year.
In its latest trading update, Liontrust said that assets under management and advice were up 8.5% at £33.5bn over the financial year ending 31 March.
The news was warmly greeted by the market, with Liontrust’s share price up 3.37% just before midday at £12.88 per share. However it remains substantially below its all-time high of £24.85 in September 2021.
In spite of the Q1 net outflows, chief executive John Ions (pictured) said, “over the whole financial year, Liontrust generated net inflows of £2.5bn and has delivered positive sales at the start of the new financial year”.
Liontrust completed its acquisition of Majedie Asset Management at the start of the month, bagging the rival at a lower price due to a sharp fall in its own share price. The deal added £5.2bn to AUMA.
The Majedie investment team has since been renamed the Liontrust Global Fundamental team. No details have yet been provided about any changes that will be made given the “obvious overlap” in UK funds.
Majedie has three UK-focused strategies that are now housed alongside the considerably bigger £5.7bn Special Situations and £1.4bn UK Smaller Companies funds run by Anthony Cross and Julian Fosh.
