Ashmore Group PLC on Monday said emerging markets delivered ‘superior economic growth’ as the investor hailed growth in assets under management.

The London-based emerging markets-focused investment manager said AuM increased by 4.4% to $54.0 billion in the three months to December 31 from $51.7 billion at the end of the prior quarter.

Ashmore said this comprised of positive investment performance of $3.9 billion, offset by net outflows of $1.6 billion.

‘The [US Federal Reserve’s] signalling of the end of its rate hiking cycle and continued economic stability in many emerging countries delivered strong performance across emerging markets over the three months,’ the company said.

Chief Executive Officer Mark Coombs added: ‘Emerging markets delivered good returns and outperformed most developed world indices in 2023 due to superior economic growth, effective monetary policies and the benefits of a weaker US dollar as the Fed reaches the end of its tightening cycle. These factors, along with attractive absolute and relative valuations, will support emerging markets asset prices in 2024, leading to outperformance and higher allocations from investors who currently have significantly underweight allocations to emerging markets.’

Ashmore will release its full results for the six months that ended December 31 on February 7.

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