Jupiter H1 pretax profit beats forecasts, AUM rises

LONDON, July 27 (Reuters) - Jupiter Fund Management posted a 3 percent rise in first-half pretax profits on Wednesday, buoyed by a 5 percent uplift in underlying net management fees and continued inflows that boosted assets under management to 37 billion pounds ($48.61 billion).

Asset managers like Jupiter have battled to keep profits up and outflows down in recent months as increased market volatility and concerns around the global growth outlook have dampened appetite for investment.

Pretax profit came in at 86.6 million pounds, above analysts consensus of 81.5 million pounds, while the firm said it would boost its interim dividend by 12.5 percent to 4.5 pence a share.

Total (LSE: 524773.L - news) funds under management, meanwhile, rose 4 percent to 37 billion pounds in the six months to end-June. Underlying net management fees came in at 156.5 million pounds compared with 149.2 million a year earlier.

Adjusted EBITDA fell 2 percent to 84.7 million pounds due to lower performance fees and increased costs following its headquarters office move.

While looking to diversify its product offering and sell to a broader range of clients to help cushion against market volatility, most of its clients remain in Britain, which last month voted to leave the European Union.

"It (Other OTC: ITGL - news) is too early to comment on the long term effects of the EU referendum held in the UK at the end of June but Jupiter continues to be well-positioned for the post-Brexit business environment," Chief Executive Maarten Slendebroek said in a statement.

"A full Brexit without an EU trade deal and without mutual passporting arrangements would trigger a limited amount of legal restructuring for Jupiter's operations in Continental Europe, but no movement of staff," he added. ($1 = 0.7611 pounds) (Reporting by Sinead Cruise and Simon Jessop)