REG - Polar Capital Hldgs - AuM Update

Polar Capital HoldingsAnnouncement

Today 07:02

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20260116:nRSP1442Pa&default-theme=true

RNS Number : 1442P  Polar Capital Holdings PLC  16 January 2026

16 January 2026
                Polar Capital Holdings plc

AuM Update

 

Polar Capital Holdings plc ("Polar Capital" or the "Group"), the specialist
active asset management group, today provides an update in respect of the
three months to 31 December 2025.

 

Group AuM (unaudited)

 

Polar Capital reports that as at 31 December 2025 its AuM was £28.4bn
compared to £26.7bn at the end of September 2025, an increase of 6% over the
quarter. In the quarter, AuM increased by fund performance and market
movements of £1.7bn, net inflows of £149m, offset by fund closures of £62m
and a £116m return of capital following a third and final investment trust
corporate action for the year.

 

 AuM movement in three months to 31 December 2025
                      Open ended  Investment  Segregated mandates  Total

                      Funds       Trusts      (£m)                 (£m)

                      (£m)        (£m)
 AuM at 1 Oct 2025                6,294       501                  26,700

                      19,905

 Net flows

                      233         (115)       31                   149

 Corporate action(1)

                      -           (116)       -                    (116)

 Fund closures(2)

                      (62)        -           -                    (62)

 Market movement

 and performance      1,290       419         7                    1,716

 Total AuM at                     6,482       539                  28,387

 31 December 2025     21,366

 

 AuM movement in nine months to 31 December 2025
                      Open ended  Investment  Segregated mandates  Total

                      Funds       Trusts      (£m)                 (£m)

                      (£m)        (£m)
 AuM at 1 April 2025  15,994      4,846       569                  21,409

 Net flows            (153)       (232)       (156)                (541)

 Corporate action(1)              (396)       -                    (396)

                      -

 Fund closures(2)

                      (62)        -           -                    (62)

 Market movement      5,587       2,264       126                  7,977

 and performance
 Total AuM at         21,366      6,482       539                  28,387

 31 December 2025

(1) Return of capital to investors in June 2025 as the Polar Capital Global
Financials Trust underwent a 100% tender offer following which 44% of issued
capital was tendered and in November 2025 when Polar Capital Global Healthcare
Trust underwent a 100% tender offer following which 22% of issued capital was
tendered.

(2) Return of funds to investors upon the closure of Polar Capital Melchior
European Opportunities Fund in November 2025.

 

Net performance fee profits (unaudited)

 

The table below sets out the position relating to net performance fee profits
(after the deduction of staff interests) earned in the first nine months of
the Group's financial year.

 

 Performance fees                                12 months to  Nine months to

 net of staff allocations (All figures in £m)    31 Mar 25     31 Dec 25

                                                 (year-end)
 Total net performance fee profits               7.9           16.0*

*The figures exclude £1.6m of net performance fee distributions (staff
allocations) that are deferred into future periods for accounting purposes,
and which should be deducted from the total performance fee profit figure for
the purposes of calculating adjusted total earnings per share.

 

Iain Evans, Chief Executive, commented:

"It was a positive end to 2025 for the firm. We delivered net inflows during
the quarter and performance fees crystallised above the level accrued at the
end of September 2025 and the prior year. The elevated performance fee profits
have supported the Board's decision to announce a £15m share buyback
programme, signalling confidence in the business and reflecting our
disciplined approach to capital allocation, as well as our focus on delivering
long-term value for shareholders.

 

"Details of the share buyback programme can be found in a separate
announcement released today.

 

"Assets under management rose by 6% over the quarter to £28.4bn, up from
£26.7bn at the end of September (£21.4bn at the end of March 2025). The
increase was driven by £1.7bn of fund performance and market movements and
£149m of net inflows, partly offset by £62m relating to the closure of the
Polar Capital Melchior European Opportunities Fund and a £116m one-off return
of capital following the Polar Capital Global Healthcare Trust corporate
action.

 

"Net outflows, excluding the impact of fund closures, in October (£9m) and
November (£138m) were followed by a sharp reversal in December, when 10
investment teams recorded net inflows totalling £296m across all strategies.
Overall, the quarter compares favourably with the comparable period in the
prior year, when net outflows were £260m.

 

"Performance fee profits (net of staff allocations), crystallised at the end
of December 2025, amounted to £16m. This compares with accruals of £15m at
the end of September 2025 and £7.9m crystallised in the prior year. The
profits were generated predominantly by the Biotech, Healthcare Opportunities
and the two Convertible Bond funds, with smaller contributions from the
Artificial Intelligence, Healthcare Blue Chip and Japan Value funds.

 

Outlook

"2025 remained a challenging backdrop for active equity managers, with
investor outflows continuing at elevated levels.

 

"Although higher rates, volatility and broader dispersion would typically
favour high-conviction active strategies, market leadership remained unusually
concentrated for much of the year, making consistent outperformance difficult
for many diversified approaches. Independent data indicates that, in
aggregate, fewer than a third of active managers globally outperformed in
2025*.

 

"Against that backdrop, Polar Capital performed well on a relative basis.
Two-thirds of our strategies (UCITS and investment trusts) outperformed their
respective benchmarks, with standout results in Convertible Bonds, Technology,
Healthcare and Biotech, Japan Value, and Smart Energy. We also completed three
successful investment trust corporate actions - an exceptional outcome that
reflects the strength of our brand, our investment capability and our client
relationships, and above all the efforts of colleagues across the business.

 

"Encouragingly, client engagement has improved, and the new business pipeline
is strengthening. While visibility on the timing and scale of inflows is
limited, our priority for 2026 is to convert gross demand into durable net
inflows through consistent investment performance, excellent client service
and disciplined commercial execution.

 

"Looking ahead, while the external environment is likely to remain uncertain
in the near term, I am confident that specialist firms like ours are well
placed and that we will continue to adapt, develop and grow."

 

*Source: Baird, Bloomberg, December 2025

 

For further information please contact:

 

 Polar Capital                             +44 (0)20 7227 2700

 Iain Evans (Chief Executive)

Samir Ayub (Chief Financial Officer)

 Deutsche Numis - Nomad and Joint Broker   +44 (0)20 7260 1000

 Giles Rolls

 Charles Farquhar

 Peel Hunt LLP - Joint Broker              +44 (0)20 3597 8680

 Andrew Buchanan

 Thomas Philpott

 Camarco - PR                              +44 (0)20 3757 4980

 Ed Gascoigne-Pees

 Jennifer Renwick

 Phoebe Pugh

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCEAAFSFSXKEAA



            Copyright 2019 Regulatory News Service, all rights reserved