Ashmore chief pockets big dividend after stampede to emerging markets

Fund Manager Ashmore’s chief executive Mark Coombs was £32 million to the good on Friday after the company shrugged off global unease over President Donald Trump’s trade war to boost profits.

The low-key London stockpicker, who shuns publicity, will benefit from a 12.1p-per-share final dividend unveiled by Ashmore today.

He owns a 37% stake of the FTSE-250 firm, worth £1.2 billion. He founded Ashmore in 1992. The company invests money on behalf of central banks, pension plans and governments in emerging market debt, equity and currencies.

Inflows of nearly $11 billion (£8.9 billion) for the year ending June helped increase assets under management by 24% to almost $92 billion. Higher fees drove pre-tax profits 15% higher to £220 million.

Calling 2019 a “positive” period for emerging markets, Coombs said the main risk to markets was Trump’s “confrontational” and “aggressive” trade stance with China.

“A continued US-led trade war is likely to affect sentiment broadly and result in further episodes of investor risk aversion,” he said, adding that could Ashmore help pick up stocks on the cheap.

In February Coombs pledged to begin reducing his stake to under 30%. He plans to sell 4% per year and said he has “no intention of seeking creeping control of Ashmore”.