For the third quarter, Janus' total AUM of $208 billion included an increase of 9.1 percent from the previous quarter, reflecting $8.6 billion in market appreciation and fund performance, long-term net inflows of $0.7 billion and money-market net inflows of $8.1 billion. Janus' INTECH subsidiary had long-term net outflows of $2.2 billion during the third quarter 2007 compared with long-term net inflows of $1.3 billion in the second quarter 2007. Excluding INTECH, Janus' long-term net inflows were $2.9 billion in the third quarter 2007 versus $1.5 billion long-term net inflows in the previous quarter.
Janus plans to sell its printing business, Rapid Solutions Group. In connection with the expected disposal, Janus recorded an after-tax impairment charge of $0.21 diluted loss per share in the third quarter of 2007.
"This quarter's significantly higher flows from Janus-managed products reflect our success with advisors and show that the marketplace recognizes our consistently strong performance," explains Janus CEO Gary Black. "Despite INTECH's short-term outflows, we have great confidence in its investment process, which has helped it build an excellent long-term track record."
Recently, Janus announced that veteran portfolio manager Marc Pinto will manage Janus Growth and Income Fund and its related products for intermediary and institutional clients. In addition, research director Jim Goff and Janus' research analyst team will manage Janus Fundamental Equity Fund and its related products for intermediary and institutional clients. The Janus Growth and Income and Janus Fundamental Equity products were previously managed by Minyoung Sohn, who decided to leave Janus.
The company plans to ask the trustees of the Janus Funds to approve the merger of Janus Fundamental Equity Fund into Janus Research Fund. In addition, the firm is recommending that related fundamental equity products for intermediary and institutional clients worldwide be renamed Janus Research.
A 13-year Janus veteran, Pinto will remain co-portfolio manager of Janus Balanced Fund and its related products and will continue to manage certain institutional large-cap growth disciplines.
Janet Levaux is the managing editor of Research; reach her at email@example.com.