UPDATE 1-Man Group assets hit by outflows of client cash, FX

* Total assets fall 1.5% to $112.7 bln

* Net outflows $1.1 bln, FX losses $1.3 bln

* Investment gains $700 mln (Recasts, adds detail from statement, CEO quote, bullet points)

By Simon Jessop

LONDON, Oct 11 (Reuters) - British hedge fund manager Man Group said assets were hit by net outflows of client cash and adverse currency moves in the third quarter and an uncertain outlook could weigh on sentiment into year-end.

Markets have been roiled in recent months by a worsening macroeconomic backdrop and political tensions across the globe, including a U.S., China trade dispute, slowing growth in Germany and uncertainty around Britain's exit from the European Union.

With leading stock markets including the S&P 500, the EuroSTOXX 50 and Britain's FTSE 100 all trading sideways to lower over the period, Man Group funds betting on rising stock prices saw the biggest outflows, at $1.7 billion.

Those outflows were partially offset by increased demand to invest in some of the hedge fund's quantitative alternative strategies, leaving net outflows for the quarter at $1.1 billion.

Despite its funds performing well overall, rising by a collective $700 million, the gains were more than swallowed up by negative currency moves of $1.3 billion, to leave total assets at the end of the period down 1.5% at $112.7 billion.

"As we look ahead, we are encouraged by our good performance fee earning potential, although uncertain economic conditions mean the outlook for flows remains mixed," Chief Executive Luke Ellis said in a statement.

After completing a $100 million share buyback announced in 2018 earlier this month, the company said it would look to buy back a further $100 million in shares.

Since the financial crisis, the company has looked to diversify into new products and geographic regions and said on Friday it would continue to review further potential acquisitions, without giving details. (Reporting by Simon Jessop Editing by Rachel Armstrong and Carolyn Cohn)