Some €34bn of these flows were into what the firm describes as ‘medium to long-term assets’, with AUM for the year reaching double the amount seen in 2023. For the final quarter of the year, net inflows reached €20.5bn, which included €18bn into medium to long-term assets.

Within ‘medium to long-term assets’, Amundi said most of the flows over the last quarter came from ETFs at €10.5bn, while actively-managed funds pulled in €5.5bn on a net basis. Actively-managed fixed income strategies proved most popular, with gross flows of €9.1bn.

The retail segment of Amundi’s business experienced its highest level of net inflows since 2021 at €11.5bn, with third-party distributers pulling in €12.7bn of capital. The institutional arm of the business achieved net inflows of €7.1bn, with €10.8bn coming from medium to long-term assets.

See also: Amundi launches private credit fund with First Eagle

Market performance and currency moves accounted for €140.1bn throughout the course of the year, and €28.1bn during the final quarter.

In terms of assets under management, ETFs reached €268bn by the end of December, marking a 30% year-on-year increase. Asian assets under management rose by 17% to €469bn, with €28bn in inflows throughout the course of the year. Amundi’s third-party distribution arm grew by 27% year-on-year to reach €401bn, while fixed income capabilities amounted to €1,190bn in assets under management.

Overall, Amundi’s total AUM increased by 10% over the year, and by 2.2% over the past quarter, to a record high of €2,240bn.

From a business perspective, adjusted net income during Q4 reached €377m, marking a 20% increase compared to the same time period in 2023. Adjusted net revenues over the quarter amounted to €924m, a 14.6% uptick compared to Q4 2023.

Valérie Baudson, chief executive officer, said: “2024 was a record year for Amundi, both in terms of results and activity. Our net income has reached €1.4bn and our net inflows have doubled compared to 2023. Our assets under management are at an all-time high, at more than €2.2trn, thanks to very dynamic inflows in several strategic areas, such as third-party distributors, ETFs and Asia. We have also confirmed and expanded our leading position in fixed income strategies.

“Our cost/income ratio, at the best level in the industry, is already in line with our 2025 target. This strong financial performance allows us to propose an increased dividend, offering an attractive return for our shareholders.”

The meetings, which saw shareholders vote on Saba’s proposals to replace the current boards with their own nominees, both saw investors back the incumbent leadership.

Over 60% of votes cast in each meeting were against Saba’s proposals. 98.5% of Baillie Gifford US Growth’s non-Saba shares voted against the resolutions, while just 0.8% of Keystone’s non-Saba shares backed the US hedge fund’s proposals.

See also: Gold funds surge in January as tariff fears mount

The result follows on from a similar vote at Herald Investment Trust on 22 January, at which investors also backed the existing board.

CQS Natural Resources Growth & Income and Henderson Opportunities Trust will hold their own general meetings on Saba tomorrow, before the European Smaller Companies Trust meets on 5 February.

Edinburgh Worldwide shareholders will vote on 14 February.

As with Herald, shareholder engagement was high with 78.4% of total voting rights being used at the Baillie Gifford US Growth trust meeting.

Richard Stone, chief executive of the Association of Investment Companies (AIC), said: “It’s encouraging to see so many shareholders of Baillie Gifford US Growth and Keystone Positive Change come out and vote on this critical issue.

“The impressive turnout of retail investors demonstrates what can be achieved when shareholders are informed, enabled and motivated to have a say on their trust. Our campaign ‘My share, my vote’ aims to change the Companies Act so everyone receives information on their company and can vote.”

The LTAF will start with almost £150m from Aviva in a mix of assets and cash and will have no fixed lifespan. It will invest with a UK bias in Europe and North America across fintech and insurtech, healthtech, science and technology, and climate and sustainability.

Aviva has targeted an overall return of 15% per year on a five-year rolling basis. It will make its venture investments through third-party funds and other evergreen vehicles.

Dame Amanda Blanc, group CEO at Aviva, said: “Aviva is investing more and more in the UK, to support growth and back Britain’s flourishing early-stage companies. This new fund will provide vital finance to some of the UK’s most promising, high-growth businesses, aiming to deliver great returns for our customers.”

This will be the fourth LTAF launched by Aviva, following the Multi-Sector Private Debt LTAF in November.

See also: PA Live A World Of Higher Inflation 2025

Mark Versey, chief executive officer at Aviva Investors, said: “This fund marks another step in our ambition to unlock the benefits of Private Markets for more investors, and to be the go-to provider for the UK’s DC and Wealth markets. We are incredibly pleased to expand our LTAF range further, making it easier for investors to allocate more to these asset classes and to enjoy the returns and diversification they can offer.

“Targeting venture returns, we expect our new fund to help the companies of tomorrow get ready for the future, driving innovation and growth through investments that also have the potential to have a positive societal and environmental impact.”

Markets became nervous that the new president’s 25% tariff on imports from Canada and Mexico and 10% levy on Chinese goods could trigger a trade war that would alter global trade dynamics.

Gold’s price reached £2,275 per ounce today (3 Feb), up from £2,103 at the beginning of January.

Funds such as Baker Steel Gold & Precious Metals, Jupiter Gold and Silver, and BlackRock Gold & General benefited the most from this surge in demand, beating all other Investment Association funds with total returns of 17.4%, 17.3% and 16.6% in January.

See also: Global markets fall as Trump tariffs spark trade war concerns

Following close behind them was Charteris Gold & Precious Metals, Quilter Precious Metals Equity, and Ninety One Global Gold, which were up 16.3%, 16.2% and 16.1% respectively throughout the month.

And gold’s rally could have further to climb yet, with many unknowns still lingering over how the affected countries may react – not to mention the nations that could yet have tariffs placed on their goods.

Russ Mould, investment director at AJ Bell, said: “The prospect of a full-blown trade war has spooked investors as they weigh up the prospect of widespread retaliation by countries on the receiving end of Donald Trump’s tariff frenzy,”

“Affected countries aren’t going to take the hit lying down and a tit-for-tat scenario is now looking real. That could result in higher inflation and put a stop to further interest rate cuts for the time being – exactly the opposite of what equity investors want to happen.”

See also: Baillie Gifford drops sustainable tag from £159m monthly income fund

On a sectoral level, IA Latin America had the best month in January, rising 11.4% on average thanks to its high exposure to commodities. Funds in the sector collectively hold over a third (35.3%) of their assets in basic materials and industrials.

But IA Latin America’s strong month could be short lived, according to Ben Yearsley, investment director at Fairview Investing. After being the worst performing sector of 2024 (falling 25% on average), last month could be a “dead cat bounce,” he said.

India delivers worst returns

Commodity portfolios may have had a strong start to the year, but IA India funds suffered the worst returns in January as the nation forecast its slowest economic growth in four years.

The latest Economic Survey projected gross domestic product to grow by 6.3% to 6.8% over the coming year, down from 8.2% last year.

Funds in the IA India sector fell 5.2% on average throughout January, with some dropping further than others.

Invesco India Equity was the worst performing fund of the month, with returns dropping 10.6%. It was followed by Ashoka Whiteoak India Opps and Comgest Growth India, which fell 9.6% and 9% respectively.

LIFT is based primarily in Manchester, with offices in London and Edinburgh. The deal will bring an additional £1.6bn in assets under advice to Brooks Macdonald’s financial planning business, for a total of £6.4bn.

As it comes under the Brooks Macdonald umbrella, LIFT founder Michael Holden will become chief executive of financial planning for Brooks Macdonald.

See also: PA Live A World Of Higher Inflation 2025

Holden and Joel Adams, founders of LIFT, said: “We are incredibly proud of everything LIFT has achieved. We are confident the acquisition by Brooks Macdonald is the right step for the future of the business, our clients, and our team. Brooks Macdonald shares our values and commitment to excellence, and we are forming the best combination for further success.”

Holden added: “Looking ahead, I’m excited to lead the Financial Planning business. Building a solid, Chartered business and investing in the next generation through initiatives like the Adviser Academy has always been a passion of mine. With Brooks Macdonald, I’m eager to build on this foundation and help drive the Financial Planning business forward.”         

The measures, announced by US President Donald Trump over the weekend, see a 25% tax placed on goods from Canada and Mexico, and 10% on imports from China.

In response, Canada has already announced a tariff on US goods while Mexico and China are also expected to retaliate.

At 11:45am, the FTSE 100 had fallen 1.2% since the start of the day’s trading, following similar falls overnight in Asian markets.

See also: GAM Investments hires Janus Henderson management trio

Richard Flax, CIO at Moneyfarm, says investors are increasingly concerned that these moves could trigger a cycle of retaliatory tariffs, escalating into a full-scale trade war.

“With the new administration taking a more aggressive stance than some had anticipated, markets are now reassessing his previous rhetoric to anticipate the administration’s next steps,” he says.

“The president has long held the view that import tariffs could help fund the federal budget as an alternative to raising taxes. Now, emboldened in his second term, his administration appears more determined to pursue this strategy, having taken a more measured approach during his first term.

“The initial market rally following Trump’s re-election was driven by optimism over deregulation, with investors largely downplaying the risks of protectionist policies. However, the rapid implementation of tariffs – including those targeting key allies – has forced markets to consider the economic consequences.”

He added attention will now shift to Europe, following Trump’s comments that tariffs on the EU are “definitely happening”.

“For American consumers, these tariffs are expected to be inflationary, exacerbating the financial strain from the high inflation seen between 2022 and 2023. These moves also raise questions about the Federal Reserve’s ability to cut interest rates in the near term. Given the heightened uncertainty, the Fed is likely to hold rates steady, opting to assess market conditions before considering any adjustments.”

PA event: PA Live: A World Of Higher Inflation 2025

According to AJ Bell investment director Russ Mould, markets had assumed that Trump would talk tough on tariffs before backing off when he got a deal. Therefore, his plan to act first and then talk has come as a “nasty surprise” to share prices around the world.

“Trump’s launch of tariffs in 2018 did raise revenues for America but US corporate profits took a hit that year and America’s S&P 500 index fell by a fifth, so markets have understandably taken fright this time around.

“Weirdly, stockmarkets have begun Trump’s second term in boisterous form, in marked contrast to 2016’s election result when they approached the Republican candidate’s win with caution. Ultimately, the S&P 500 gained 56% during Trump’s first term, but that came with a big wobble in 2018, when the index lost 5% overall and endured a mini bear market in the autumn, as threats of tariffs on China became reality.

“America’s tax take did benefit, as customs duties doubled in short order. The tattered state of US federal finances, where the debt is far higher now and the interest bill is surging, means this offers some good news, from an American perspective.”

Moving forward, the strategy will be known as the Baillie Gifford Monthly Income fund.

However, the fund’s investment process will remain unchanged. The strategy aims to deliver a natural monthly income alongside capital returns, which look to grow in line with UK inflation over the long term.

See also: GAM Investments hires Janus Henderson management trio

The strategy will continue to be managed by Steven Hay, Lesley Dunn and Nicoleta Dumitru.

James Dow, who co-manages the firm’s Responsible Global Equity Income fund and the Scottish American Investment Company, has been replaced by Jon Stewart on the fund’s portfolio construction group.

Stewart will focus on property investing, while Dow will remain linked to the strategy as its equity allocation uses the Responsible Global Equity Income model.

See also: PA Live A World Of Higher Inflation 2025

James Budden, head of global marketing at Baillie Gifford, said: “Ultimately, we believe the term ‘Monthly Income’ is more appropriate as it describes how the fund seeks to provide a resilient income stream and grow capital in real terms.

“No changes to the philosophy and process have been made to the Baillie Gifford Monthly Income Fund and we are confident that the name change gives investors greater clarity around their investment choice. We think this fund provides an excellent income solution for investors many of whom might be a long time retired.”

Mumford created the Opportunities fund in 1988 and the AIM fund in 2005, and holds over 60 years of experience in the UK investment industry. He spent the majority of his career with Cavendish Asset Management until it was acquired by Stonehage Fleming in 2020.

See also: Stuart Parkinson becomes Stonehage Fleming CEO

Burchett has worked with Mumford for the last seven years on the funds. Previously, he spent almost three decades at Investec where he was head of dealing.

“I feel very honoured to be taking full charge of the TM Stonehage Fleming Opportunities fund and the TM Stonehage Fleming AIM fund. I am enormously grateful to Paul for his support as I take them forward.  The prospect of seeking further opportunities for the medium-to-long-term benefit of investors is an immensely exciting one,” Burchett said.

See also: PA Live A World Of Higher Inflation 2025

Graham Wainer, CEO of Stonehage Fleming Investment Management, added: “Nick has demonstrated his deep knowledge and investment experience managing two of our flagship funds alongside Paul. It is only natural, therefore, that Nick steps up to take on the leadership role. I would like to take this opportunity to thank both Paul and Nick for their hard work and ongoing commitment to the firm.”

O’Hara and Ross were co-portfolio managers of the Henderson European trust, which generated a share price total return of 64.3% over the past five years, compared to a sector average of 37.8%, according to the Association of Investment Companies. The Henderson European trust board announced the resignation of the duo this morning.

Barker was a research analyst for the European equity team since 2021, and previously an equity research analyst at Bank of America Securities.

The trio, led by O’Hara, will manage the GAM Star European Equity and GAM Star Continental European Equity Funds. The funds were previously managed by Niall Gallagher, Chris Sellers and Chris Legg, who announced last November they would be joining Jupiter by summer 2025.

See also: PA Live A World Of Higher Inflation 2025

“Over the decades GAM has nurtured some of the finest investment talent for the benefit of clients. Its strong heritage in European Equities has directly shaped my approach to investment. It is a privilege to accept this responsibility, and I look forward to contributing to the renaissance of GAM under new, long-term focused majority ownership,” O’Hara said.

Elmar Zumbuehl, Group CEO at GAM, added: “I am delighted to welcome Tom, Jamie and David to GAM. We are confident that their strong investment track records and proven investment approaches will lead to excellent client outcomes. Attracting such exceptional investment professionals underscores GAM’s distinctive and attractive culture, our strategy, and long-term promise.”

O’Hara has been with Janus Henderson since 2018 while Ross joined the company in 2007 as a graduate trainee. Henderson European trust is a result of the merger of Henderson Eurotrust and Henderson European Focus Trust that occurred last year.

The duo will be succeeded by Robert Schramm-Fuchs and Nick Sheridan, who have been part of the company’s European Equities team since 2014 and 2009, respectively.

See also: PA Live A World Of Higher Inflation 2025

The trust has a share price total return of 64.3% over the last five years, compared to a sector average 37.8%, according to the Association of Investment Companies. It trades at a 9.4% discount, and has been conducting share buybacks in an effort to shrink the percentage.

“The board will, via Deutsche Numis, be soliciting shareholder views on the strategic direction of the Company, and intends to review the Company’s position in light of the feedback received,” the board stated.

• Purchasing managers’ indices (PMIs) for manufacturing in Japan, Asia, Europe, the UK and USA
• EU inflation
• US car sales
• OPEC+ meeting
• In Japan, quarterly results from Mizuho Financial, Hoya and Murata
• In the US, quarterly results from Palantir, NXP Semiconductors, Tyson Foods, Clorox and Rambus

Tuesday 4 February

• Full-year results from Crest Nicholson
• Trading statements from Vodafone and Staffline
• US Job Openings and Labor Turnover Survey (JOLTS)
• US factory orders
• In Japan, quarterly results from Mitsubishi UFJ Financial and Nintendo
• In Europe, quarterly results from UBS, BNP Paribas, Intesa SanPaolo, Dassault Systems, Infineon Technologies, Coloplast and Publicis
• In the US, quarterly results from Alphabet, Merck, PepsiCo, AMD, KKR, Pfizer, Amgen, Spotify, PayPal, Mondelez, Ferrari, Simon Property, Cummins, Marathon Petroleum, Super Micro Computer, Electronic Arts and Estée Lauder

Diageo will release its first-half results on Tuesday as shares sit at a five-year low.

Following a period of prosperity for the company during Covid-19 lockdowns, Diageo has faced an onslaught of difficulties. Tariffs and health warnings in the US have led to a slowdown for brands including Don Julio and Casamigos.

Inventories in the Latin America business have also presented issues for chief executive Debra Crew, who took over in 2023.

Russ Mould, AJ Bell investment director, Danni Hewson, AJ Bell head of financial analysis, and Dan Coatsworth, AJ Bell investment analyst, said: “A profit warning from America’s Constellation Brands back in January has also left analysts on alert.

“The brewer of Modelo and Corona and owner of the Casa Noble tequila brands lowered sales growth estimates for beer and wine and spirits, as management cited subdued overall demand for alcohol and trading down among brands by drinkers.”

For the first half of the fiscal year, analysts anticipate organic sales growth of 0.5%, net sales of $10.7bn and a 2% year-on-year drop in organic operating profit. Diageo has not yet provided any guidance for 2025, but has targeted increasing organic sales and operating profit from 5% to 7% year-on-year.

Diageo has managed to continue dividend growth, with annual increases going back to the 1990s. For the full fiscal year, analysts anticipate an increase of 2.5%.

“It remains to be seen whether shareholders start to turn up the heat on the company and its CEO, especially as activist investors continue to take greater interest in UK equities,” the AJ Bell team said.

“Diageo has already denied market chatter that it may consider the sale of Guinness, or even its full range of beers, and its 34% stake in Moët Hennessy.”

Wednesday 5 February

• Full-year results from Pressure Technologies
• Trading statement from DCC
• Purchasing managers’ indices (PMIs) for services in Japan, Asia, Europe, the UK and USA
• US ADP payrolls survey
• US oil inventories
• In Japan, quarterly results from Toyota Motor and KDDI
• In Europe, quarterly results from Novo Nordisk, TotalEnergies, Banco Santander, Equinor, Credit Agricole, Assa-Abloy and Alfa Laval
• In the US, quarterly results from Walt Disney, ARM, Uber, Fiserv, Microstrategy, Emerson Electric, Metlife, Johnson Controls, Ford and Yum! Brands

Thursday 6 February

• Trading statements from Compass, Anglo American and Watches of Switzerland
• Bank of England interest rate decision
• Purchasing manager’s index (PMI) for the UK construction industry
• Challenger Gray & Christmas US job cuts survey
• US weekly initial unemployment claims
• In Japan, quarterly results from Tokyo Electron
• In Asia, quarterly results from Bharti Airtel
• In Europe, quarterly results from L’Oréal, AP Møller-Maersk, Siemens Healthineers and ING
• In the US, quarterly results from Amazon, Eli Lilly, Linde, Philip Morris, Honeywell, ConocoPhillips, Bristol-Myers Squibb, Thomson Reuters, Motorola, Hilton Worldwide, Fastenal, Roblox, Hershey, Take-Two Interactive, Microchip and Monolithic Power Systems

AstraZeneca will release its full-year results on Thursday as the pharmaceutical industry faces uncertainty with Trump’s selection for secretary of health and human services, Robert F. Kennedy Jr.

However, in its third quarter results AstraZeneca raised its guidance, causing a boost in stock price. Analysts will keep an eye out for 2025 predictions by AstraZeneca. Markets currently believe total sales for 2025 should be $55.6bn while core earnings per share should hit $9.50.

“Geographic sales trends will be of interest, too. The US, Emerging Markets, Europe and Rest of World all showed good, double-digit percentage sales growth in the third quarter, but investors may look for any comments on China, where executives have been the subject of regulatory investigation amid allegations of fraud and data privacy breaches, with one individual detained by the authorities. AstraZeneca itself has not been accused of any wrongdoing,” Mould, Hewson and Coatsworth said.

The yearly results could also provide updates on manufacturing investment plans in the UK and an increased research and production budget in the US. Chief executive Pascal Soriot has set a goal of $80bn of sales by 2030.

“A key plank of that ambition will be ongoing support of the drug development pipeline, which as of the third quarter in November contained 199 projects across Phase I, II and III trials and also life-cycle management (LCM) programmes to extend product marketability up to and beyond patent expiry,” the AJ Bell team said.

Friday 7 February

• Halifax UK house price index
• German industrial production
• US non-farm payrolls, wage growth and unemployment rate
• In Japan, quarterly results from NTT and Honda Motor
• In Asia, quarterly results from Mediatek
• In Europe, quarterly results from Danske Bank, Saab, Banco Sabadell, Skanska, Schibsted and Yara

Having previously calculated the annual management fee quarterly as a percentage of NAV, the percentage rate will now be applied to an equal weighting of the average closing daily market cap and the NAV at the start of each quarter.

The trust’s board said that the new agreement could save £1.6m compared to a fee based solely on NAV.

John Leggate, chair of Gresham House Energy Storage fund, said: the new fee arrangement “better reflects” current market conditions and investor sentiment.

See also: PA Live A World Of Higher Inflation 2025

“The new arrangements further build on the significant alignment between the manager and shareholders by virtue of their existing substantial share ownership. 

“The next three years will involve a very intense workload for the Manager as the company delivers on its three-year plan and the Board will keep the fee arrangements under review on an annual basis.”

Ben Guest, fund manager of the fund and managing director of Gresham House New Energy, added: “We recognise the past 18 months have been tough for all shareholders.

“We are pleased to have concluded these revised fee arrangements which further motivate the manager to deliver for shareholders. Our focus is squarely on delivering against the three-year plan unveiled during the Capital Markets Day last November.”

The trust currently trades at a 62.7% discount, according to the Association of Investment Companies.