Fed fears caused £1.2bn Aberdeen pullout

Customers pulled out £1.2bn in funds from Aberdeen Asset Management ahead of the Fed’s announcement on its future monetary policy, it has emerged.

Fears that the US would bring a halt to its money printing programme helped to drag Aberdeen’s assets under management down to £201.7bn at the end of August, compared to £209.6bn two months earlier. The Fed decided not to slow the pace of its monetary stimulus last week.

Aberdeen said clients withdrew money from fixed income and equity funds. The outflows were better than the £3.4bn during the three months ending June when customers pulled out of emerging markets funds.

Boss Martin Gilbert said: “Our assets under management, balance sheet and profitability remain robust despite continuing market volatility. This is testament to the scale and diversity of the business.”