BT Investment Management (BTIM) Group has announced an increase in funds under management (FUM) over the December quarter due to stronger market conditions.
The group's FUM reached a total of $48.1 billion as of December 31, up from $46.6 billion in the September quarter, largely due to an increase in performance fees by BT-owned investment manager J O Hambro Capital Management (JOHCM) and the global markets starting to recover.
"We saw an increase in our FUM over the quarter, largely helped by the stronger market," BTIM chief financial officer Cameron Williamson told InvestorDaily.
"Flows overall at the group level were flat, with stronger flows at JOHCM being offset by BTIM outflows. "
"However, from a revenue point of view, at the group level we were net positive, so it's important to look at our overall group revenue benefitting from our net flows during the quarter."
JOHCM's performance fees for the year reached $34.0 million in revenue, increasing from the $4.3 million received in the corresponding prior period.
This had a positive effect on BTIM Group's revenue of net flows during the quarter, with an increased annualised fee income of $2.6 million.
BTIM said the group expects the continued recovery of the market and the increasing confidence of investors to help continue to grow FUM over the next year.
"With that confidence coming back into the market, we're seeing positive flows coming back into the industry," Mr Williamson said.
"We think that will be a good sign for the industry overall and for our investors in just building up their confidence again."
