Janus shares dropped most in 15 months in 4Q on investor withdrawals

Subpar performance prompted investors to pull money for the 18th consecutive quarter.

Jan 23, 2014 @ 1:13 pm

janus, mutual funds, money manager, withdrawal
+ Zoom
(Bloomberg News)

Janus Capital Group Inc., owner of the Janus, Intech and Perkins funds, fell the most in almost 15 months after subpar performance prompted investors to pull money for the 18th consecutive quarter.

Janus's clients withdrew a net $6.2 billion, the most since the second quarter of 2010, the company said Thursday in a statement reporting fourth-quarter financial results. Janus shares fell 7.5% to $12.01 by 11:36 a.m. in New York trading, after earlier falling as much as 8.8%, the most since Oct. 31, 2011.

“Lagging relative investment performance remains the primary head wind to fund flow and performance fee improvement,” Daniel Fannon, an analyst at Jefferies & Co., wrote in a note to clients Thursday, adding that the withdrawals were almost triple his $2.3 billion estimate.

Janus reported that net income rose 23% to $38.3 million, or 21 cents a share in the three months ended Dec. 31, from $31.2 million, or 17 cents, a year earlier.

(Bloomberg news)

0
Comments

What do you think?

View comments

Recommended for you

Sponsored financial news

Featured video

Events

Pershing's Dolly: 3 challenges facing advisers ahead

What are the biggest challenges facing financial advisers today? Pershing Lisa Dolly explains some of the hurdles, and how great advisers are overcoming them.

Video Spotlight

Will It Last As Long As Your Clients Do?

Sponsored by Prudential

Video Spotlight

The Catalyst

Sponsored by Pershing

Latest news & opinion

Vanguard rides robo-advice wave to $65B in assets

Personal Advisor Services, four times the size of its closest competitor, combines digital and human touch.

CFPs, including brokers, may have to adhere to a stricter fiduciary duty

CFP Board revises its standards and aims to beef up fiduciary requirements of certificants.

CFP Board's proposal to expand fiduciary duty draws praise, carries risks

Some question whether brokers will drop the CFP mark or if the CFP Board will strictly enforce its new standard.

Meet our new 40 Under 40s

Introducing 40 young leaders in financial advice. Learn how their passions are driving their success and fueling the future of the industry at large.

W.P. Carey exiting the nontraded REIT business

With regulations and other factors changing the marketplace, the publicly traded REIT will focus on its core business in the net lease market.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print