London, January 19, 2026, 13:49 GMT — Trading continues in the regular session.
- Shares of Polar Capital dipped 0.96% to close at 619 pence in London.
- Deutsche Bank Research raised its price target on Polar Capital to 750p from 700p, while keeping a “buy” rating.
- The company starts its £15 million share buyback on Monday, after assets under management grew in the December quarter.
Polar Capital Holdings shares fell 0.96% to 619 pence on Monday, despite a broker bumping up its target price right before the company kicked off its £15 million share buyback.
The drop matters because buybacks directly reduce the number of shares available. Investors remain skeptical about whether active managers can turn better returns into actual net inflows.
Fund managers zero in on assets under management — the client money the firm controls — as their key benchmark because it drives steady management fees. Performance fees, triggered when funds surpass targets, can pump up profits but tend to swing sharply from year to year.
Polar Capital said its buyback programme will be conducted through open-market purchases, using existing cash reserves. Deutsche Numis is set to manage the trades. The operation begins January 19 and should conclude by July 19, but the company warned there’s no guarantee the full amount will be bought.
On Friday, the firm revealed assets under management rose 6% in the quarter, hitting £28.4 billion at Dec. 31, up from £26.7 billion at September’s close. Market moves and performance accounted for £1.7 billion of that growth, with net inflows adding £149 million. Net performance fee profits for the first nine months climbed to £16.0 million. Chief Executive Iain Evans cited these “elevated performance fee profits” as a major factor behind the buyback decision. investegate.co.uk
Deutsche Bank Research raised its price target on Polar Capital to 750 pence from 700 pence, keeping its “buy” rating intact, according to an Alliance News broker-ratings roundup. London South East
Even with the buyback in play, the stock still tracks flow expectations and broader market shifts. When equity markets rally, fee-generating assets tend to climb. But a drop can swiftly erode AUM and tighten margins.
Flow visibility is still scarce, and performance fees can vanish fast if markets slip or funds lag their benchmarks. Investors will be keen to see whether the buyback can truly support the share price if sector sentiment turns negative.
Traders are now poised for the first buyback execution disclosures, with the company set to report any repurchases by the next business morning. Attention will also turn to the quarterly AUM update, coming April 13, as per Polar Capital’s corporate calendar.
