Man Group shares plunge 20% as AUM contracts $6bn

Shares in Man Group have fallen over 20% this morning as the investment manager warned of a $6bn contraction in funds under management in Q3.

The share price declined 20.2% to 191.2p as a trading update blamed outflows and the poor performance of GLG's strategies as reasons for the reduction in assets since June. Chief executive of Man Group, Peter Clarke, also warned he expects investor appetite to be suppressed until the end of the year as Man's six-month trading update said a net outflow of $2.6bn is likely to be reported for Q3. A large chunk of this figure is predominantly down to flows from GLG alternatives, such as global convertibles, and long only strategies, particularly in Japanese equities, reflecting $4.5bn sal...