TIDMLIO

RNS Number : 4570L

Liontrust Asset Management PLC

13 January 2021

LEI: 549300XVXU6S7PLCL855

For immediate release

13 January 2021

Stock Exchange Announcement

LIONTRUST ASSET MANAGEMENT PLC

Trading Update

Liontrust Asset Management Plc ("Liontrust", or the "Company"), the specialist independent fund management group, today issues its trading update for the period 1 October to 31 December 2020.

Highlights

-- Net inflows of GBP792 million in the three months ended 31 December 2020 and GBP2,540 million for the nine months ended 31 December 2020.

-- Assets under management and advice ("AuMA") were GBP29.4 billion as at close of business on 31 December 2020, an increase of 43% over the quarter and 83% since the start of the current financial year.

-- The acquisition of Architas Multi-Manager Limited and Architas Advisory Services Limited (together "Architas UK Investment Business"), announced on 1 July 2020 completed on 30 October 2020, adding GBP5.6 billion to AuMA.

-- On 2 October 2020, Liontrust announced the sale of the Asia Income investment team and the closure of the European Income and Macro Thematic investment teams.

   --    AuMA as at close of business on 11 January 2021 were GBP30.1 billion. 

Commenting, John Ions, Chief Executive, said:

"I am incredibly proud of how the whole Company continues to operate successfully, achieving our strategic objectives through the global pandemic.

It is at times like this that adherence to core beliefs and investment processes are vital. Liontrust and our funds have shown great resilience over the past 10 months. The strength of Liontrust's investment teams, brand and distribution is shown by the fact we generated net inflows of GBP792 million over the last three months of 2020 and GBP2.5 billion since 1 April. Our AuMA has increased to GBP30.1 billion from GBP16.1 billion on 1 April 2020.

Following its acquisition at the end October 2020, the Architas UK Investment Business is now fully rebranded and integrated. The speed and efficiency of this could not have been achieved without clear vision and strong operational processes across the Company.

With the addition of the Liontrust Multi-Asset funds, we now have a compelling proposition to help advisers meet their client objectives. Liontrust's success has been built on putting our clients at the core of everything we do. Combining this investment proposition with our sales and marketing skills enables Liontrust to enhance the service provided to advisers and expand our distribution in this key part of the market.

An increasing number of investors want their investments to make positive contributions to society, the environment and the economy. The world we live in today needs to and can improve by investors demanding more from the companies they invest in.

Our Sustainable Investment team will have been successfully engaging with the companies they invest in for 20 years in February 2021. Over the past two decades, the team have demonstrated the ability of their investment process to outperform mainstream funds and the impact of their funds on sustainable development.

Asset managers have an important role to play in the economy supporting businesses through the pandemic and the economic recovery to follow. Working with innovative companies to allocate capital towards a positive outcome will continue to deliver products and services that benefit the economy and society.

I am confident that Liontrust will maintain its growth because of the Company's continued focus, our six excellent investment teams, diversification across funds and distribution markets, strong brand and first-class service."

Assets under management and advice

On 31 December 2020, our AuMA stood at GBP29,428 million and were broken down by type and process as follows:

 
         Process           Total    Institutional   UK Retail   Multi-Asset   Offshore 
                           (GBPm)      (GBPm)        (GBPm)       (GBPm)       (GBPm) 
 Sustainable Investment     9,278             130       8,425             -        723 
 Economic Advantage         8,338             278       7,750             -        310 
 Multi-Asset                7,101               -           -         7,101          - 
 Global Equity              2,686             195       2,491             -          - 
 Cashflow Solution          1,201             806         340             -         55 
 Global Fixed Income          824               -         340             -        484 
 Total                     29,428           1,409      19,346         7,101      1,572 
 

Note: AuMA for the Liontrust Asia Income Fund is excluded as the fund is in the process of being transferred to Somerset Capital Management LLP. AuMA for the European Income team is included in Cashflow Solution investment team AuMA and Macro Thematic team AuMA is included in Global Equity investment team and Economic Advantage investment team AuMA.

AuMA as at close of business on 11 January 2021 were GBP30,101 million.

Flows

The net inflows over the three months to 31 December 2020 are GBP792 million (2019: GBP836 million). A reconciliation of fund flows and AuMA over the three months to 31 December 2020 is as follows:

 
                              Total   Institutional   UK Retail   Multi-Asset   Offshore 
                             (GBPm)          (GBPm)      (GBPm)        (GBPm)     (GBPm) 
 
 Opening AuMA - 1 October 
  2020(1)                    20,598           1,170      17,288           963      1,177 
 
 Net flows                      792              93         382            41        276 
 
 Market and Investment 
  performance                 2,421             146       1,676           480        119 
 Acquisition of AuMA(2)       5,617               -           -         5,617          - 
 
 Closing AuMA - 31 
  December 2020              29,428           1,409      19,346         7,101      1,572 
 

The net inflows over the nine months to 31 December 2020 are GBP2,540 million (2019: GBP2,203 million). A reconciliation of fund flows and AuMA over the nine months to 31 December 2020 is as follows:

 
                            Total   Institutional   UK Retail   Multi-Asset   Offshore 
                           (GBPm)          (GBPm)      (GBPm)        (GBPm)     (GBPm) 
 
 Opening AuMA - 1 April 
  2020                     16,078             988      13,275           840        975 
 
 Net flows                  2,540             143       1,989            69        339 
 
 Market and Investment 
  performance               5,290             278       4,164           575        273 
 Acquisition/(Disposal) 
  of AuMA(1, 2)             5,520               -        (82)         5,617       (15) 
 
 Closing AuMA - 31 
  December 2020            29,428           1,409      19,346         7,101      1,572 
 

(1) The sale of the Asia Income investment team was announced on 2 October 2020 reducing AuMA by GBP97 million and is included in "Opening AuMA - 1 October 2020" for the net flows for the 3 months ended 31 December 2020 and is included in "Acquisition/(Disposal) of AuMA" for the net flows for the 9 months ended 31 December 2020.

(2) AuMA and is included in "Acquisition/(Disposal) of AuMA" for the net flows for the 3 months and the 9 months ended 31 December 2020.

UK Retail Fund Performance (Quartile ranking)

 
                                        Quartile          Quartile    Quartile    Quartile        Launch 
                                        ranking -          ranking     ranking     ranking     Date/ Manager 
                                   Since Launch/Manager    - 5 year    - 3 year    - 1 year      Appointed 
                                        Appointed 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Economic Advantage 
  funds 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust UK Growth 
  Fund                                      1                 1           2           3         25/03/2009 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Special 
  Situations Fund                           1                 1           1           1         10/11/2005 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust UK Smaller 
  Companies Fund                            1                 1           1           1         08/01/1998 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust UK Micro 
  Cap Fund                                  1                 -           1           1         09/03/2016 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Sustainable Future 
  funds 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Monthly 
  Income Bond Fund                          2                 3           4           4         12/07/2010 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF Managed 
  Growth Fund                               1                 1           1           1         19/02/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF Corporate 
  Bond Fund                                 2                 2           3           3         20/08/2012 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF Cautious 
  Managed Fund                              1                 1           1           1         23/07/2014 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF Defensive 
  Managed Fund                              1                 1           1           1         23/07/2014 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF European 
  Growth Fund                               1                 1           1           1         19/02/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF Global 
  Growth Fund                               3                 1           1           1         19/02/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF Managed 
  Fund                                      1                 1           1           1         19/02/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust UK Ethical 
  Fund                                      2                 1           1           1         01/12/2000 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust SF UK Growth 
  Fund                                      2                 1           1           1         19/02/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Global Equity funds(3) 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Balanced 
  Fund                                      1                 1           1           1         31/12/1998 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust China Fund                       4                 3           4           3         31/12/2004 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Emerging 
  Market Fund                               3                 2           2           2         30/09/2008 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust European 
  Opportunities Fund                        2                 4           4           4         29/11/2002 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Global 
  Smaller Companies 
  Fund                                      1                 1           1           1         01/07/2016 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Global 
  Alpha Fund                                1                 1           1           1         31/12/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Global 
  Dividend Fund                             1                 1           1           1         20/12/2012 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Global 
  Equity Fund                               1                 1           1           1         31/12/2001 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Global 
  Technology Fund                           2                 2           1           3         15/12/2015 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Income 
  Fund                                      1                 1           1           1         31/12/2002 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Japan Equity 
  Fund                                      2                 2           3           2         22/06/2015 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Japan Opportunities 
  Fund                                      1                 4           4           4         30/09/2002 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust US Income 
  Fund                                      4                 3           4           4         30/09/2010 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust US Opportunities 
  Fund                                      1                 1           1           1         31/12/2002 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Cashflow Solution funds 
-------------------------------------------------------------------------------  ----------  --------------- 
 Liontrust European 
  Growth Fund                               1                 1           1           1         15/11/2006 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Global 
  Income Fund                               3                 3           3           3         03/07/2013 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Global Fixed Income 
  funds 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 Liontrust Strategic 
  Bond Fund                                 2                 -           -           3         08/05/2018 
-------------------------------  ----------------------  ----------  ----------  ----------  --------------- 
 

Source: Financial Express to 31 December 2020 as at 7 January 2021, bid-bid, total return, net of fees , based on primary share classes. The Liontrust Asia Income Fund and funds previously managed by the European Income and Macro Thematic investment teams are excluded. Past performance is not a guide to future performance, investments can result in total loss of capital. The above funds are all UK authorised unit trusts or UK authorised ICVCs (primary share class).

(3) Liontrust Latin America Fund, Liontrust Russia Fund and Liontrust India Fund are not included as they are in IA sectors that are not rankable (e.g. Specialist and Unclassified) as it would not be a fair comparison to make.

For further information please contact:

Liontrust Asset Management Plc (Tel: 020 7412 1700, Website: liontrust.co.uk)

John Ions: Chief Executive

Vinay Abrol: Chief Financial Officer & Chief Operating Officer

Simon Hildrey: Chief Marketing Officer

David Boyle: Head of Corporate Development

N+1 Singer Advisory LLP (Tel: 020 7496 3000)

Corporate Broking: Tom Salvesen

Panmure Gordon (Tel: 020 7886 2500)

Corporate Advisory: Stephen Howard

Corporate Broking: Charles Leigh-Pemberton

Forward Looking Statements

This announcement contains certain forward-looking statements with respect to the financial condition, results of operations and businesses and plans of Liontrust. These statements and forecasts involve risk and uncertainty because they relate to events and depend upon circumstances that have not yet occurred. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements and forecasts. As a result, the Liontrust's actual future financial condition, results of operations and business and plans may differ materially from the plans, goals and expectations expressed or implied by these forward-looking statements. Liontrust undertakes no obligation publicly to update or revise forward-looking statements, except as may be required by applicable law and regulation (including the Listing Rules of the Financial Conduct Authority). Nothing in this announcement should be construed as a profit forecast or be relied upon as a guide to future performance.

Other information

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ENDS

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January 13, 2021 02:00 ET (07:00 GMT)