Interim management statement for the period to 30 September 2010

Montag, 15. November 2010 07:00
GAM Holding AG /
Interim management statement for the period to 30 September 2010
Processed and transmitted by Thomson Reuters.
The issuer is solely responsible for the content of this announcement.

Zurich, 15 November 2010

* Group assets under management of CHF 118.7 billion[1] up 2% from 30 June
2010, driven by sustained net new money inflows on the back of ongoing
product diversification.
* 3.1% of outstanding shares repurchased to date under the share buy-back
programme introduced in August 2010.
* Strong balance sheet with tangible equity of approximately CHF 1.3 billion,
although the Group anticipates a reduction in the carrying value of its
Artio Global Investors Inc. participation.

Group assets under management increased by CHF 2.1 billion during the third
quarter to CHF 118.7 billion at 30 September 2010. Although slower, client
inflows at both GAM and Swiss & Global Asset Management followed broadly similar
patterns to those seen during the first half of the year.

GAM Holding AG's share buy-back programme was introduced on 26 August 2010. By
12 November 2010, 3.1% of outstanding shares had been repurchased for
cancellation at an average share price of CHF 14.79. The programme has a maximum
duration of two years and a repurchase limit of 10% of the current shares in
issue. Approximately half of the maximum volume of shares are expected to have
been repurchased by the annual general meeting on 19 April 2011, when
shareholders will be asked to approve their cancellation. The share buy-back
programme complements the company's intention to distribute approximately 50% of
net profits to shareholders through dividends. GAM Holding AG also has an
economic hedge equivalent to 5% of shares in issue in respect of its potential
exposure to options granted to employees under its long-term incentive plan.

The Group's balance sheet remains strong, with tangible equity of approximately
CHF 1.3 billion and a cash position of approximately CHF 0.9 billion on 30
September 2010. The tangible equity position includes the retained 28%
investment in Artio Global Investors Inc. As required under IFRS, the value of
this investment is reviewed on a regular basis. Recent trading statements issued
by Artio Global Investors Inc. and the fall in its share price over the course
of the past six months have led to a more conservative valuation. This is
anticipated to result in a reduction of the investment's carrying value through
a non-cash charge in the fourth quarter.

Developments at GAM
GAM's assets under management at 30 September 2010 were CHF 53.8 billion, up
CHF 53.1 billion at the end of June 2010. The increase was driven by net new
money inflows and market performance, although these effects were partly offset
by the depreciation of the US dollar against the Swiss franc.

Net inflows were recorded predominantly into the fixed income range, including
the funds GAM sub-advises for Swiss & Global Asset Management, as well as into
single manager absolute return products and Asian equity strategies. Funds of
hedge funds and managed portfolios continued to experience net outflows, mainly
from the third-party private client segment, driven in part by a shift in client
preferences towards single manager and onshore products. Institutional interest
in alternative strategies with low correlation to equity markets remained solid,
as evidenced by a strong pipeline of potential business.

GAM continued to expand its range of UCITS III funds and capitalise on
investors' ongoing demand for regulated, onshore products that are managed by
the industry's leading investment specialists. With two new alternative funds
introduced in the third quarter and several more scheduled for launch in the
coming months, GAM's offering includes a diverse and innovative range of long-
only and hedge strategies that are particularly suited to the requirements of

Developments at Swiss & Global Asset Management
Swiss & Global Asset Management's assets under management increased to CHF 81.9
billion at the end of September 2010 from CHF 78.3 billion at the end of June
2010, reflecting net new money inflows and positive market performance. The
negative impact from the weakening of the US dollar was partly offset by the
appreciation of the euro against the Swiss franc.

The greatest contributors to net new money were the fixed income funds
distributed by Swiss & Global Asset Management and sub-advised by GAM. The
physical precious metal fund range also continued to attract client inflows, and
new commodity-based products are being developed to serve the substantial growth
in demand for this asset class. While current inflows into equity funds remain
muted, Swiss & Global Asset Management expanded its actively managed equity
range in anticipation of a renewal of investor appetite in this sector. Finally,
the private label fund business continues to generate steady inflows and growth.

In October, Swiss & Global Asset Management opened an office in Madrid to
service its local institutional and intermediary clients. Its primary focus will
be the sale of the Luxembourg-based Julius Baer branded funds registered in
Spain. With this step, the business expands its onshore footprint in Europe,
building on its strong presence in its core markets of Switzerland, Germany and

GAM Holding AG will publish its full-year 2010 results, including audited
financial statements, on 1 March 2011.

For further information please contact:

Media Relations:
Larissa Alghisi Rubner, GAM Holding AG
T: +41 (0) 58 426 62 15

Investor Relations:
Thomas Schneckenburger, Bluechip Financial Communications
T: +41 (0) 44 256 88 33

Notes to Editors

About GAM Holding AG
GAM Holding AG is an independent, well-diversified asset management business,
with a focus on the manufacturing and distribution of actively managed
investment products and solutions.

GAM Holding AG is listed on the SIX Swiss Exchange and is a component of the
Swiss Market Index Mid (SMIM) with the symbol "GAM". The Group has assets under
management of CHF 119 billion as at the end of September 2010. It employs over
1,000 staff with offices in Zurich (head office), Bermuda, Grand Cayman, Dubai,
Dublin, Frankfurt, Geneva, Hong Kong, London, Luxembourg, Milan, New York and

[1] Excludes CHF 17 billion from Julius Baer branded funds distributed by Swiss
& Global Asset Management and sub-advised by GAM.


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GAM Holding AG
Klausstrasse 10 Zürich Switzerland

ISIN: CH0102659627;

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