Institutional clients pulled $1.8 billion out of Janus Capital Group, Inc.
in the past three months, and the company estimates that they will withdraw an additional $4.5 billion over the next three, as changes decided during institutional clients’ year-end reviews go into effect.
Janus officials said Friday that 80 percent of the coming redemptions are expected in the subadvised channel and more than 40 percent of this channel’s redemptions "are from a single client who has decided to move a significant portion of their assets in-house."
, a Janus spokesperson, said that larger industry patterns were partially responsible for the outflows.
"You have to look at the general trends in the industry," she said. "A lot of these subadvised clients are looking to move money in-house."
Janus expects to take a $14 million write-down of intangible assets in the first quarter of 2004 to account for the closing of portfolios that have intangible assets allocated to them. The remaining intangible asset value allocated to subadvised accounts will be approximately $28 million.
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