The loss of a £4.2bn mandate and lower markets saw Aberdeen Group’s investments business suffer a £6.4bn net outflow in Q1.
Investors pulled a net £4.1bn from Aberdeen’s institutional and retail wealth division, while a further £2.3bn was redeemed from its insurance partners arm.
Assets under management and administration dipped to £359.6bn at the end of March, after ending 2024 at £369.7bn.
However, the firm revealed its investment arm’s net flows are positive for the year to date after a £6bn quant strategy funding win in April.
Aberdeen’s fixed income funds enjoyed a strong quarter, with a net £1.5bn inflow in the first three months of the year.
Equity net outflows of £3.3bn were recorded, which included £700m from previously announced fund mergers and an additional £700m mandate redemption, which the firm said would have a “negligible revenue impact”.
The firm’s £8.9bn gross inflows into institutional and retail wealth was its highest level for two years.
“Our strategy is to become the UK’s leading wealth business and to reposition our Investments business to areas of strength and market growth,” said Jason Windsor, CEO of Aberdeen.
“So far this year, we have made good progress against these objectives, despite the current heightened levels of market uncertainty.”