GQG hit by $21bn outflows, FUM falls

GQG Partners has recorded US$15.1 billion ($21.2 billion) in net outflows in the first half of 2026, sending funds under management (FUM) down 9.5% despite resilient investment performance across several of its strategies.

The ASX-listed fund manager reported closing FUM of US$156 billion ($242.2 billion) a year earlier, while net flows swing from a $11.2 billion inflow in the prior corresponding period to a $21.2 billion outflow.

Average FUM, however, increased 1% to $231.1 billion, supported by market performance and a higher average fee realisation rate.

GQG chief executive Tim Carver said the manager had experienced relative underperformance during the first half, contributing to the outflows.

"Over the past decade, our assets have grown to US$156 billion in funds under management. We experienced relative underperformance during the first half of 2026, which contributed to net outflows of US$15.1 billion over the period," Carver said.

Investment performance partly offset the pressure, contributing $10.1 billion to FUM during the period.

GQG's international equity strategy returned 10.3% from inception, compared with 7.5% for its MSCI benchmark, while its global equity strategy returned 11.6%, ahead of the MSCI ACWI's 10.7%.

However, emerging markets equity underperformed its benchmark, returning 6.7% against 7.3%, while its US equity strategy returned 13.5%, below the S&P 500's 13.8%.

Financial results remained relatively stable, with net revenue falling 1.4% to $558 million and net income attributable to GQG declining 0.8% to $333 million, helped by lower third part distribution, servicing and related fees.

The board declared a quarterly dividend of US$0.0362 per share ($0.0509), representing 90% of second quarter distributable earnings.