A pullback from European equities has seen Henderson Global Investors report net retail outflows of £4.6 billion ahead of its planned merger with Janus Capital in late May.
Henderson Global Investors has released its group result for the 2016 calendar year, reporting assets under management of £101 billion and net outflows of £4 billion.
New retail outflows for 2016 were £4.6 billion which, according to Henderson chief executive Andrew Formica, was largely the result of a "global pull-back from exposure to European assets".
"This was in sharp contrast to last year, where our well-regarded European capabilities saw us deliver industry-leading growth and market share gains. Whilst disappointing, we see this as a result of the current environment rather than a longer-term trend," Mr Formica said.
The previous year represented a "sea change" for Henderson, said Mr Formica, as the funds management company announced its intention to merge with US manager Janus Capital.
The merged entity, to be named Janus Henderson, will be jointly led by Mr Formica and Janus chief executive Dick Weil and will manage "over US$322 billion".
Pending regulatory approval, Henderson is targeting an extraordinary general meeting for 26 April to gain shareholder approval, after which the merger is expected to close in "late May 2017".