Jupiter: more net inflows, shaping up for a strong year

Up 1% at 174.8p (£896m) - Trading Update and Notice of Results

It's been a little while since we've checked in here. In April I was positive at a share price of 156.8p. Indeed, I've been fully positive on this once for a year.

Today we have news of positive flows: £0.7 billion in Q3, bringing year-to-date flows to £1.4 billion.

The sequence of flows year-to-date is therefore like this:

• Q1: positive £1.5 billion

• Q2: negative £0.8 billion

• Q3: positive £0.7 billion.

In 2025, net flows were positive £1.3 billion - the first year of

positive flows since 2017!

So we look to be edging closer to the second consecutive year of positive flows. A fine achievement for a business the market had been pricing for extinction. The share price has more than double since early 2025.

Q3 would have been even stronger if not for the acquired business, CCLA, which saw outflows:

With the help of positive market returns, AUM increased by 3% in the quarter.

Excluding CCLA, I calculate that AUM has increased by 14% in 2026 year-to-date, or in total by 36% since early 2025 (from £45.3 billion to £61.7 billion).

That enormous increase in AUM has been driven mostly by market returns, but flows have also made a meaningful contribution (£3.9 billion).

It's a very favourable scenario for a fund manager: positive net new business, combined with strongly rising markets. Jupiter shareholders had to wait a long time to experience that - I don't recommend looking at the 10 year chart!

Including CCLA, headline AUM has now surged to a level that is 67% higher than what Jupiter was managing in early 2025.

We get an update on how CCLA is doing:

Following a period of weaker investment performance, the CCLA investment team has continued to make changes to the investment process and strengthen collaboration across the wider Group. We are now seeing early signs of improvement, with a number of CCLA funds outperforming relevant comparators over shorter periods.

CCLA historically catered for churches, charities and local authorities. I wouldn't expect much growth or high margins at this division, but this was reflected in the cheap price paid by Jupiter (£100m).

Graham's view

This is a Super Stock with a StockRank of 97:

After another quarter of positive flows, I'm inclined to stay positive here. The shares are still not particularly expensive at 11x earnings, with a yield of 4.6%.

In AUM terms, each £1 invested in Jupiter shares at the current price buys you nearly £85 of AUM. That's not as depressed as we can find elsewhere in the fund management sector right now, but it's not bad. According to my sums, it's actually better value than what Jupiter shares offered at the start of this year: £80 of AUM per £1 of market cap, including the £15 billion that was bought in from CCLA.