Man Group’s first half of 2012 results showed a fall in funds under management of close to 10% as it reported a $5.7bn drop from its position at the end of last year.
Chief executive Peter Clarke added: “Against a turbulent market and economic background, Man’s funds under management have declined in the period principally as a result of continued net outflows and the deleveraging of our guaranteed products. The result is a marked decline in underlying profitability which, after goodwill impairments, produced a statutory loss.”
The statement giving the results finished with an announcement of a corporate restructure for Man Group plc “to access distributable reserves, which will provide it with ongoing flexibility to continue its previously stated dividend payment policy.”
The proposals will create a new listed non-trading group holding company called “New Holdco” that will be listed on the London Stock Exchange. Shareholders will be able to exchange their existing ordinary shares in Man Group plc for shares in New Holdco on a one-for-one basis.
Source: Portfolio Adviser. Read full article here.