LONDON (ShareCast) - (Sharecast News) - Ashmore reported steady full-year pre-tax profit on Friday and record net inflows, as it said it was in the process of establishing an office in Ireland ahead of Brexit.
In the year to 30 June, pre-tax profit was steady at £191.3m while assets under management rose 26% to $73.9bn, reflecting net inflows of $16.9bn, which is the highest level delivered by the company in a financial year.

Gross subscriptions doubled to $30bn, also at a record level, while gross redemptions of $13.1bn were little changed from the previous year but lower as a proportion of opening assets under management at 22%.

Ashmore noted that there remains "substantial" uncertainty regarding the terms of the UK's divorce from the European Union and the implications for the financial services industry.

The asset manager said that in order to ensure continued access to EU-based institutional clients, it is in the process of establishing an office in Ireland, subject to regulatory approval. "Therefore, notwithstanding the uncertainty, the operational impact of Brexit is expected to be manageable and the financial impact immaterial," it said.

Chief executive officer Mark Coombs said: "While asset prices were more volatile in the final quarter of the financial year, this largely reflected nervousness about a small number of emerging countries with particular issues such as Turkey, with the market extrapolating these concerns across the broad and highly diverse emerging markets universe of more than 70 countries. This mispricing therefore presents another very appealing entry point for investors.

"The combination of attractive emerging markets valuations with Ashmore's strong investment track record and underweight investor allocations means that the outlook remains positive."

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