Aberdeen acts to cut costs after further £3.9bn outflow

Aberdeen is to implement "significant" additional cost savings after emerging market woes saw it suffer £3.9bn in net outflows for the first two months of 2014.

The redemptions follow some £4.4bn in net outflows in Q4 2013 and £3.6bn in the third quarter, amid an ongoing investor flight from emerging markets. The commitment to cost savings, however, meant the group's shares rose 6% to 414p in morning trading. Fund performance, coupled with the reported outflows, meant Aberdeen's AUM fell from £193.6bn to £186.5bn in the two months to 28 February 2014, the group said today. The majority of the £3.9bn outflows for the two-month period came from the firm's equity business, which saw net outflows of £3.6bn. By contrast, its emerging market deb...