By Scott Kanowsky
Investing.com -- Shares in Man Group PLC (LON: EMG ) surged towards the top of the pan-European STOXX 600 on Friday after the fund manager announced a new share buyback program worth up to $125 million.
In a statement, the London-based firm - Britain's largest listed hedge fund - said the repurchases will run from today until December 8, 2023.
"The Share Buyback Programme is in line with the Company's policy to distribute capital to shareholders while maintaining a prudent balance sheet after taking into account required capital and potential strategic opportunities," it added.
The announcement comes after Man reported a decline in assets under management in the third quarter, dipping to $138.4B on September 30 from $142.3B at the end of June.
The company described the three-month period as "very difficult" for the wider asset management industry, with a slide in U.K. stocks and bonds compounding investor jitters over the outlook for the global economy. Man's closest rivals, including Rathbones (LON: RAT ), Quilter (LON: QLT ), and Liontrust Asset Management (LON: LIO ), all saw AUMs slip, with the combined outflows for all four businesses amounting to $9.8B during the quarter.
Man also booked a negative quarterly foreign exchange impact of $4.5B, mainly due to a recent surge in the strength of the U.S. dollar .
Shares in Man Group are down by more than 7% over the last one-year period.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.