GAM Holding Says Managed Assets Little Changed on Weaker Dollar
Client assets as of Sept. 30 were “flat,” compared with the 116.6 billion Swiss francs ($129 billion) reported at the end of June, Zurich-based GAM Holding said today in an e-mailed statement. The company had “small net outflows,” in the period, said Larissa Alghisi, a spokeswoman for the firm.
“The weakening of the U.S. dollar by almost 5 percent against the group’s Swiss franc reporting currency offset the significant rebound in market performance experienced in the third quarter.” the company said.
GAM Holding had withdrawals from third-party managed money market funds as well as closures and redemptions of offshore funds. The firm had inflows from a U.S. public pension fund into its alternative investments business and inflows into Julius-Baer branded equity funds.
GAM Holding said it reduced the quarterly volume of shares repurchased as part of a three year buyback initiative. The company, which began that initiative in 2011, said it will place a “stronger emphasis” on dividends, while sticking to a pay-out ratio of approximately 50 percent of underlying profit.
GAM Holding has surged 38 percent to 17 francs a share this year, compared with a 24 percent gain for the 107-member Bloomberg European Financial Index.
To contact the reporter on this story: Giles Broom in Geneva at email@example.com
To contact the editor responsible for this story: Frank Connelly at firstname.lastname@example.org