Ashmore Group Reports Decrease in Assets Under Management in Q1 2024


Ashmore Group, an emerging-markets assets manager, reported a decline in its assets under management during the first quarter of fiscal 2024. This decrease can be attributed to the ongoing institutional risk aversion.

In the quarter ended on September 30, the company’s assets under management dropped by $4.2 billion to a total of $51.7 billion. The decrease was mainly driven by weaker economic data from China and the expectation of higher interest rates in the developed world, leading to a contraction in global capital markets.

The decline in assets under management consisted of a negative investment performance of $1.3 billion and net outflows of $2.9 billion. The net outflows were in line with the preceding quarter’s figures.

Both emerging markets indexes and developed markets saw a decline of 2% to 3%. Although slightly better than developed markets, this decline reflects the normal period of consolidation within a longer recovery cycle. Chief Executive Mark Coombs emphasized that despite this consolidation phase, positive fundamental trends in emerging markets persist.

Overall, Ashmore Group’s reduced assets under management in the first quarter of fiscal 2024 highlight the effects of institutional risk aversion and broader market conditions. The company remains optimistic about the positive fundamentals driving emerging markets.

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