Posted Apr 18, 2022, 3:00 PM
Mark Coombs is paying his price for the turnaround in emerging markets. The founder of Ashmore announced on April 14 a decline in its assets of 9 billion dollars in the first quarter. The British asset management company managed just $78.3 billion on March 31, after approaching $100 billion in mid-2021. She accused new withdrawals of capital (3.7 billion) from her clients and losses on her portfolios.
The two largest funds aimed at individual investors took substantial bets on Russian securities shortly before the start of the war in Ukraine, which banished Moscow from international finance. Ahsmore is also exposed to $500 million in dollar debt from struggling Chinese developer Evergrande, according to Bloomberg. Ashmore’s price has lost more than half of its value since February 2021.
Aged 62, Mark Coombs is a Cambridge law graduate. He began his career in 1983 in the Latin America department of Grindlays Bank, an overseas specialist institution acquired shortly after by Australia and New Zealand Banking Group. It was there that the future billionaire created the Ashmore division in 1992, which made his fortune.
Independent since 1999 and listed on the stock exchange in 2006, Ashmore now has more than 300 employees in 11 countries. Most of its outstandings are invested in emerging debt. At the end of 2021, almost all of the appraisals posted a negative performance. All were in the green over three years, but only emerging equity strategies significantly outperformed their benchmark index.
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