Market report: Citi pulls handbrake turn on Man Group

“We upgraded Man to buy in December, reflecting earnings growth, dividend yield, and our view that AHL was now less volatile. We were wrong,” Tam said.

The performance of AHL, the FTSE 250 group’s computer-powered fund which manages more than $19 billion, is down 13% since mid-February; in the same period, the FTSE 100 has risen by 10%.

Tam speculated that acquisitions might be the answer to stop earnings sliding, but thinks Man Group, down 9.5p or 7% to 132.9p, is unlikely to splash the cash any time soon.

The FTSE 100 ended the week on a downer, falling 25.01 points to 6092.24 – the blue-chip index’s lowest in just over a month.

Investors remain cautious of the global economy, playing into the hands of African gold producer Randgold, which rose 155p or 2.7% to 5940p as the price of the safe haven precious metal advanced.

Easyjet’s passenger numbers for April underwhelmed, but it was Barclays cutting its earnings estimates that was to blame for the 14p fall to 1426.

Satellite firm Inmarsat, off 53p at 810p, suffered for a second day as brokers including HSBC and Barclays took the knife to forecasts after it cut guidance yesterday.

Car insurer Hastings rolled up 5.8p to 181.8p following a strong first quarter in which premiums leapt 29%.

Over on AIM, lower than anticipated first-half sales and cost-cutting plans knocked Oxfordshire-based luxury kitchen fitter John Lewis of Hungerford 0.185p lower or 16% to 0.94p.

Meanwhile, Science in Sport, whose sports nutrition products are used by British athlete Katarina Johnson-Thompson, dipped 0.34p to 53.16p as it hired Elizabeth Lake, formerly at Hugo Boss UK & Ireland, as its new finance director. Former bean-counter Vivienne Sparks quit last year just before the company revealed losses were mounting up.