Man with a mission blazes Footsie trail

OF THE 100 blue chip stocks in the FTSE 100,

But the international hedge fund manager and futures broker, formerly known as ED&F Man, has been a major mover and shaker in this difficult year, showing many other financial groups a clean pair of heels. Up from 600p a year ago, the shares touched a record 1336p in November and on Tuesday closed at 1120p, up 10p.

Brokers expect Man, led by chief executive Stanley Fink, to outperform next year, too. Merrill Lynch recently upgraded its target price from 1500p to 1750p, while ING Barings Charterhouse rates it a 'strong buy' with a target of 1600p.

Man forced its way into the Footsie in September, doubled half-year profits in November and said it is on the acquisition trail. A US deal could be on the cards early in the New Year.

Rumours have been rife that Unilever was set to award Man a large slice of its £1bn pension fund business after winning its recent high-profile court case against Carol Galley's Merrill Lynch Investment Managers. That jackanory is probably wide of the mark, but Man is winning new business all the time.

Two-thirds of Man's business is with rich individuals who can afford a £20,000 minimum investment. Funds managed stand at £6.1bn. In a contrast with conventional managers, its hedge funds often perform better in weak and volatile markets.

Royal Bank of Scotland firmed 17p to 1634p after broker ABN Amro upgraded in the wake of Monday's reassuring trading statement. It believes the valuation undemanding compared with its industry peers. Barclays put on 28p to 2188p.

Insurers had to take it on the chin after French giant Axa warned investors about a sharp fall in full-year profits. It blamed the 11 September attacks, volatile equity markets and the threat of a global recession for a predicted 50%-plus drop in earnings. CGNU lost 22p to 818p, Friends Provident 8 1/4p to 196 3/4p and Britannic 3p to 742p.

London held quietly firm after Wall Street jumped more than 100 points in the early stages in the wake of General Electric's in-line fourth-quarter earnings forecast. Up 45.6 points at best, the Footsie ended 14.8 better at 5151.1.

Media stocks shrugged off FT publisher Pearson's profits warning. Sir Martin Sorrell's WPP rose 38p to 740p, Granada 7 1/4p to 14 3 1/4p and Carlton 8 1/2p to 244 1/2p.

Investors shopped for retailers on reports that Christmas sales are going well. Marks & Spencer gained 8 1/4p more to 358p, while Debenhams improved 9 1/4p to 384 1/4p and discount store Matalan 18p to 333p. JJB Sports jogged 14p higher to 451p.

British Airways, still seeking a new open skies deal with American Airlines, advanced 13 1/2p to 208p.

Mobile phone chips designer TTP Communications rallied 10p to 137 1/2p. It has almost doubled from October's low of 77p. Five directors, led by chairman Gerald Avison, sold stock in November following the end of a lock-in period.

Amid reports of a pending cautious broker's circular, housebuilder Barratt Developments shed 21 1/2p to 391 1/2p.

Aim-listed support services company Xpertise added 1 3/4p to 6p on news of the appointment of Mike McGoun as chairman and Bob Bradley as chief executive.

Management buyout speculation and consideration of its property assets attracted buyers to Pura, the old Acatos and Hutcheson food processing group, which rose 9 1/2p to 90 1/2p.

Safety syringe company Medisys firmed 4 1/2p to 71 1/2p after raising £11m in a placing of 16.9m shares at 65p with Nomura International's institutional clients. ADVFN.com, the financial information website operator, hardened 1/2p to 4 1/4p following finance director David Crump's purchase of 100,000 at 3 3/4p.