Inflows remain strong despite market crash

Tatton Asset Management continued to attract new client assets through the recent market turmoil: a notable achievement at a time when many investors flocked to cash and fled equity and even some bond funds at the fastest pace in decades.

Tatton attracted net inflows of £1.13bn for the FY ending 31 Mar 2020, £688m (61%) of this coming in H2 and £86m in March ’20 alone. But it wasn’t immune to the impact of COVID-19. AUM peaked in February at £7.8bn, well ahead of forecasts, but then dropped £1.2bn – mostly because of the market crash - to end the year on £6.7bn. March inflows were only slightly down on the FY monthly average of £94m.

However, bucking broader trends, Tatton expects FY20 results (expected mid-June) to be in line with analysts’ estimates. With such resilience, TAM shares at 248p, 16% down on their Feb peak, will seem attractive to many.