D ATA PA C K 2017 Full Year Results JUPITER FUND MANAGEMENT PLC
2017 FULL YEAR RESULTS 1 Contents Overview of Jupiter AUM Page 2 Investment performance Page 3 AUM by investment strategy Page 5 AUM and flows Page 6 Summary income statement Page 10 Adjusted EBITDA reconciliation Page 11 Underlying earnings per share Page 12 Net management fee margin and average AUM Page 13 Dividends Page 14 Seed capital investments Page 15 Headcount Page 16
2017 FULL YEAR RESULTS 2 Overview of Jupiter AUM 31 December 2017: 50.2bn Asset class Product type Alternatives Equity Fixed Income Multi Asset 21% 27% 3% 49% Mutual funds Seg mandates Investment trusts 10% 3% 87% Client geography Geography of invested assets UK Europe 21% 6% 3% UK Europe 6% 25% Asia Pacific Other 70% Global Other 47% 22%
2017 FULL YEAR RESULTS 3 Investment performance Mutual fund investment performance, quartile rankings by AUM (31 December 2017) 1 year 3 years 5 years 15% 23% 13% 6% 38% 15% 6% 11% 38% 24% 43% 68% 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th Applicable AUM 1 45.6bn Applicable AUM 1 44.7bn Applicable AUM 1 44.5bn 1 Applicable AUM is the AUM of funds which have an assigned peer group and sufficient market data available
2017 FULL YEAR RESULTS 4 Investment performance Mutual fund investment performance, quartile rankings by number of funds (31 December 2017) 1 year 3 years 5 years 24% 20% 24% 32% 14% 26% 26% 28% 28% 20% 24% 34% 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th Total number of funds 60 Total number of funds 54 Total number of funds 50
2017 FULL YEAR RESULTS 5 AUM by investment strategy * 31 December 2016: 40.5bn 31 December 2017: 50.2bn 4% 7% 2% 23% 6% 6% 3% 27% 18% 16% 25% 21% 21% 21% Fixed Income Multi Asset GEMS Alternatives European Equities UK Equities Other Fixed Income Multi Asset GEMS Alternatives European Equities UK Equities Other * Investment strategy as defined by Jupiter internal classifications
2017 FULL YEAR RESULTS 6 AUM and flows by quarter million Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Opening AUM 35,674 36,181 37,023 40,356 40,543 43,533 46,907 48,431 Gross flows 2,798 2,290 2,911 2,603 3,981 4,799 3,801 3,880 Redemptions (2,075) (2,382) (2,122) (2,976) (2,675) (2,540) (2,458) (3,310) Net flows 723 (92) 789 (373) 1,306 2,259 1,343 570 Market movements (216) 934 2,544 560 1,684 1,115 181 1,179 Closing AUM 36,181 37,023 40,356 40,543 43,533 46,907 48,431 50,180
2017 FULL YEAR RESULTS 7 AUM and flows by product AUM by product million Mutual funds Segregated mandates Investment trusts Total 10% 3% 31 December 2016 35,216 4,244 1,083 40,543 Net flows 5,100 364 14 5,478 Market movements 3,429 600 130 4,159 31 December 2017 43,745 5,208 1,227 50,180 87% Mutual funds Segregated mandates Investment trusts
2017 FULL YEAR RESULTS 8 AUM and flows by product by quarter million Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Mutual funds Opening AUM 31,170 31,418 32,268 35,153 35,216 37,986 40,930 42,319 Gross flows 2,473 2,241 2,769 2,527 3,864 4,410 3,656 3,624 Redemptions (2,030) (2,237) (2,002) (2,882) (2,462) (2,415) (2,411) (3,166) Market movements (195) 846 2,118 418 1,368 949 144 968 Closing AUM 31,418 32,268 35,153 35,216 37,986 40,930 42,319 43,745 Segregated mandates Opening AUM 3,527 3,775 3,754 4,136 4,244 4,394 4,708 4,896 Gross flows 314 48 142 76 117 308 142 231 Redemptions (40) (133) (111) (89) (210) (119) (31) (74) Market movements (26) 64 351 121 243 125 77 155 Closing AUM 3,775 3,754 4,136 4,244 4,394 4,708 4,896 5,208 Investment trusts Opening AUM 977 988 1,001 1,067 1,083 1,153 1,269 1,216 Gross flows 11 1 - - - 81 3 25 Redemptions (5) (12) (9) (5) (3) (6) (16) (70) Market movements 5 24 75 21 73 41 (40) 56 Closing AUM 988 1,001 1,067 1,083 1,153 1,269 1,216 1,227
AUM billion AUM billion 2017 FULL YEAR RESULTS 9 Turning performance into flows Diversification from international growth Gross mutual fund flow split SICAV AUM AUM by client geography Unit trusts SICAV Other Fixed income UK Europe Asia RoW 8.9 10.7 1.4 2.8 4.5 4.6 4.1 6.7 4.7 5.2 4.8 5.4 6.7 1.5 1.1 2.5 1.6 2.9 2.7 3.4 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017
2017 FULL YEAR RESULTS 10 Summary income statement million 2016 2017 Net management fees 330.2 392.4 Net initial charges and commissions 15.0 15.2 Performance fees 6.2 1.9 Net revenues 351.4 409.5 Fixed staff costs (48.3) (54.3) Other expenses (67.1) (77.8) Variable staff costs (66.6) (82.5) Charge for options over pre-listing shares (0.1) (0.2) Administrative expenses (182.1) (214.8) Other gains 5.1 0.6 Amortisation of intangible assets (3.3) (2.3) Operating profit 171.1 193.0 Finance income 0.5 0.1 Finance expense (0.2) (0.2) Profit before tax 171.4 192.9
2017 FULL YEAR RESULTS 11 Adjusted EBITDA reconciliation million 2016 2017 Operating earnings 169.3 194.7 Add: IFRS 2 share option charge over MBO shares 0.1 0.2 Add: Depreciation 2.2 2.1 Adjusted EBITDA 1 171.6 197.0 Adjusted EBITDA margin 49% 48% 1) Adjusted EBITDA = earnings before interest, tax, depreciation and amortisation, adjusted for non-recurring items
2017 FULL YEAR RESULTS 12 Underlying earnings per share Underlying EPS 1 Progression (pence) million 2016 2017 % +/- Statutory profit before tax 171.4 192.9 +13% 34.2 Contracts and brand amortisation 1.9 0.7 Options over pre-listing shares 0.1 0.2 29.2 29.4 Foreign exchange gains 2 (5.0) - Underlying profit before tax 168.4 193.8 Tax at statutory rate 3 (33.7) (37.3) Underlying profit after tax 134.7 156.5 Actual shares (million) 457.7 457.7 Underlying EPS (pence) 29.4 34.2 +16% 2015 2016 2017 1) EPS = earnings per share 2) In June 2016 there was a one-off gain in respect of foreign exchange arising from the liquidation of overseas entities 3) Tax at statutory rate of 19.25% (2016: 20%)
2017 FULL YEAR RESULTS 13 Net management fee margin and average AUM Net management fee margin (bps) Average AUM by product 50.2bn 87 93 85 90 34.4bn 11% 37.8bn 10% 46.2bn 10% 10% 87% 87% 87% 87% 2016 2017 Overall Mutual funds 2015 2016 2017 2017 year end Mutual funds Segregated mandates Investment trusts
2017 FULL YEAR RESULTS 14 Dividends Turning growth into capital returns Dividend progression (pence per share) Return of private client proceeds Continued execution of our capital returns model Special Final Interim 4.9 10.9 12.5 15.5 Ordinary and special dividends will be paid at year end in line with previously communicated approach 6.6 9.1 9.5 10.6 10.2 10.3 3.5 3.7 4.0 4.5 6.8 2013 2014 2015 2016 2017
2017 FULL YEAR RESULTS 15 Seed capital investments Total investments 1 ( million) Seed capital deployed 97 To launch funds 59 Give small but strongly performing funds sufficient scale to attract external money Hedging programme to neutralise market and currency movements and de-risk balance sheet 38 million increase in programme since December 2016 Primarily driven by additions of 70m, redemptions of 37m and positive market movements of 5m 2016 2017 Seed capital investments have been stated at market value 1) As at 31 December 2016 and 31 December 2017
2017 FULL YEAR RESULTS 16 Headcount Average number of employees Average number of employees Employees at period end 523 504 497 463 2016 2017 2016 2017