The present markets should favour financial companies such as Intermediate Capital Group. This is shifting from investing its own funds to a more asset management operation, launching funds with high rates of return targeted at institutional investors.
This is attractive in the continuing low interest rate environment and provides more reliable fee income. ICG enjoyed a 3 per rise in total assets under management in the fourth quarter to €22.6 billion, with €600 million of fresh third-party money raised. This mainly reflected a close on one fund, Asia Pacific III, and a further cash-raising for another, Strategic Secondaries Fund.
The total figure was ahead of some market forecasts. Fee-earning assets under management were up 5 per cent, though, to €17.3 billion. The company says