Tatton Asset Management saw a record £1.8bn of net inflows push assets under management (AUM) up to £13.9bn in the 12 months to 31 March 2023, according to a trading update released this morning (18 April).
AUM jumped by more than a fifth over the year, aided by a 16.5% growth in the number of active firms, which hit 869.
CEO Paul Hogarth (pictured) was pleased with what he called a year of “strong growth” in a “difficult and volatile market environment” for most asset managers.
He added that the year’s performance left the firm close to its £15bn AUM target by the end of FY24, and “still with a year to go”.
Tatton’s acquisition of Hampshire-based asset manager 8AM Global, which completed in August 2022, also contributed tellingly to the growth in AUM. Tatton bought 50% of 8AM’s share capital, adding a further £1.1bn of assets by 31 March.
Tatton’s investments proved to be a drag on growth over the 12 months, as market movements knocked £400m off AUM. Investment performance picked up considerably in the second half of its financial year, but this could not offset the £900m lost during H1.
Hogarth said: “We have consistently grown, adding new firms and AUM annually, resulting in this year being our strongest ever and I now believe the MPS market has reached a point where it has truly come of age.
“It was even more pleasing that we carried the first half momentum into the second half of the year, ensuring we maintained consistent flows throughout the year as a whole.
“The market drivers remain unchanged, and we will continue to invest to strengthen the team in order to take advantage of the sizeable opportunity for further organic growth in the years ahead.”