Shares digital

Its own estimates that bond fund manager BlueBay Asset Management (BBAY) will double assets under management (AUM) over three years could be conservative, says house broker Credit Suisse. Analysts at Credit Suisse believe the company could well win larger and larger mandates from its pension and sovereign wealth fund clients. The analysts are reflecting BlueBay’s confidence that today’s difficult bond market conditions will be seen as an opportunity by clients to buy cheap.

The alternative asset manager said at last month’s interims it continued to expect strong net inflows ($2.5 billion) during the second half, despite turbulence in the credit markets.

At the 31 December half-year point AUM stood at $16.4 billion, compared with $13.1 billion at the 2007 year end. Credit Suisse is expecting AUM to finish the 2008 financial year at about $20 billion and then grow another 50% in 2009, before doubling by 2010.

Shares says: Shares are recovering as market realises growth opportunity.

by Simon Keane