The acquisition of the rival Merian Global Investors has given Jupiter Fund Management added heft, but luring investors back in the shadows of giant passive asset managers looks like it will be hard work.
Since Andrew Formica, the former Janus Henderson co-chief executive, took over in March 2019, Jupiter’s shares have underperformed the FTSE 250 share index by 41 per cent. On a five-year basis, the result is even worse. Indeed, Jupiter’s valuation has been dwarfed even by its active rivals: it languishes near the bottom of its publicly listed peer group at a multiple of only eight times forward earnings, or at an enterprise value of barely 4.7 times forecast earnings before interest, tax and other charges. Both are far towards the lower ends
