The Russ Oxley managed Ignis Absolute Return Government Bond Fund was responsible for around a third of third-party inflows (£344m), setting itself up as a flagship fund with total AUM now beyond £1bn.
Chris Samuel, chief executive at Ignis Asset Management, said the continued strength in third-party sales reflected progress in a strategy first announced in 2009 to grow this part of the business.
“I am pleased to say third party assets excluding former joint venture assets, have more than doubled and some 30% of management fees now come from outside the Phoenix Group.”
The impact of Ignis’ parent group was felt through a dip in total AUM, which fell from £68.3bn at the end of 2012 to £66.9bn at the end of June due to run off from Phoenix Group’s closed life insurance business.
“The impact of lower revenues caused by the run-off of life company assets and the restructuring of former joint ventures was offset by increased third party revenues and reduced expenses.”
To capitalise on the appetite for the Ignis Absolute Return Government Bond Fund the firm plans to launch a hedge fund version of the product targeted at more sophisticated institutional investors and will also launch an Absolute Return Emerging Market Debt Fund later in the year.