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GQG loses positive FUM momentum

By Jessica Penny
2 minute read

The fund manager has seen its first FUM loss this year after a months-long growth streak.

GQG Partners has reported that its funds under management (FUM), as at 30 April 2024, stood at US$142 billion, down from US$143.3 billion at the end of March.

The firm also posted net inflows for the year to date period of US$6.3 billion.

Breaking down its FUM, GQG reported an increase in only one category – emerging markets equity, which recorded FUM of US$39.6 billion, up from $US39 billion the month before.

International equity was flat at US$55.8 billion at the end of April while US equity fell to US$11.6 billion from US$11.9 billion, while global equity was down US$1.7 billion to US$35 billion at the end of the period.

In a recent FUM update for the quarter ending 31 March, GQG reported a continued uptick in FUM, growing to US$143.4 billion, with net flows for the quarter recorded at US$4.6 billion.

While describing this as a “solid start to 2024”, it cautioned against simple extrapolation, pointing out that net flows in the first quarter of any given year are influenced by seasonality.

“However, we believe our strong risk-adjusted returns over the long-term, in combination with our global, diversified distribution capabilities, position us well in the market,” GQG said at the time.

Also this year, GQG announced its first foray into private markets through the acquisition of minority interests in three of Pacific Current Group’s US-based affiliates – Avante Capital Partners, Proterra Investment Partners, and Cordillera Investment Partners – for an aggregate cash consideration of US$71.25 million.

The boutiques represent foundational investments for the newly launched GQG Private Capital Solutions (PCS) and will operate independently from GQG’s traditional global equities business, the firm confirmed at the time.

“We are thrilled to announce the launch of PCS and the recruitment of the leadership team for that business,” GQG chief executive Tim Carver said.

“The launch of this business line, and its partnership with Avante, Cordillera, and Proterra, presents a tremendous opportunity for GQG in its efforts to expand into private markets.”

In its full-year results, GQG Partners reported funds under management (FUM) grew to US$120.6 billion for the year ended 31 December 2023, a 37 per increase in FUM from the prior corresponding period.