Swiss money manager GAM has reported a net loss of CHF2.7m for the first half of 2021 as against a net loss of CHF390.1m in year ago half.
For the period ended 30 June 2021, the asset manager reported underlying pre-tax profit of CHF800,000 versus an underlying loss of CHF2n in the first half of 2020.
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Assets under management rose to CHF126bn from CHF122bn as at 31 December 2020.
Investment management division
The company’s core Investment Management unit registered a net outflow of CHF2.2bn in the first half of the year.
However, the outflow was partly offset by net positive foreign exchange movements and market movements of CHF1.9bn in first half of the year.
Private labelling
The private labelling funds business of the group had net inflows of customer funds of CHF800m.
The unit’s AuM at the end of first half totalled CHF91.2bn compared with CHF86.1bn as at 31 December 2020.
Cost Savings
The Swiss group in its press statement noted that it is on track to meet its cost-cutting target of CHF15m in 2021.
Fixed personnel and general expenses during the first half declined by CHF8.8m to CHF88.9m from CHF97.7 million in the first half last year.
GAM group CEO Peter Sanderson said: “We are committed to sustainable growth at GAM and have invested significantly in talent and technology as well as evolving our product offering to support this.
“We are seeing an encouraging level of client interest reflecting our strong investment performance and although we saw outflows in investment management overall, we saw net inflows across our equity platform and have achieved an increasingly diversified pipeline of client activity in the first half with demand across our core, thematic, liquid alternative and sustainable strategies.”
