London, January 19, 2026, 13:49 GMT — Regular session ongoing.
- Polar Capital’s shares slipped 0.96%, closing at 619 pence in London.
- Deutsche Bank Research lifts its price target on Polar Capital to 750p from 700p, maintaining a “buy” rating.
- The company kicks off its £15 million share buyback on Monday, following a rise in AUM during the December quarter.
Shares in Polar Capital Holdings slipped 0.96% to 619 pence on Monday, even as a broker raised its target price just before the launch of the company’s £15 million share buyback scheme. (London South East)
The dip is significant since buybacks affect the stock supply in the market. Investors are also wrestling with whether active managers can convert improved performance into net inflows.
Fund managers focus on assets under management — the client money held by the firm — as their main benchmark since it generates steady management fees. Performance fees, which kick in when funds exceed targets, can boost profits but often fluctuate wildly from one year to the next.
Polar Capital announced its repurchase programme will be carried out via open-market buys, funded from current cash reserves, with Deutsche Numis handling the execution. The plan kicks off on January 19 and is expected to wrap by July 19, though the company cautioned there’s no certainty it will be fully executed. (Investegate)
The firm reported on Friday that assets under management jumped 6% in the quarter, reaching £28.4 billion at Dec. 31, up from £26.7 billion at the end of September. Of the increase, £1.7 billion came from market moves and performance, while net inflows contributed £149 million. Net performance fee profits for the first nine months climbed to £16.0 million. Chief Executive Iain Evans pointed to these “elevated performance fee profits” as a key reason behind the buyback decision. (Investegate)
Deutsche Bank Research bumped its price target for Polar Capital to 750 pence, up from 700 pence, while maintaining a “buy” rating, according to an Alliance News broker-ratings round-up. (London South East)
Despite the buyback, the stock usually reacts to flow expectations and overall market moves. When equity markets rise, fee-generating assets get a boost. But a downturn can quickly shrink AUM and squeeze margins.
Visibility on flows remains limited, and performance fees can quickly evaporate if markets pull back or funds underperform their benchmarks. Investors will be watching closely to see if the buyback can genuinely prop up the share price should sector sentiment sour.
Traders now await the initial buyback execution disclosures—the company promised to announce any repurchases by the next business morning. They’ll also watch for the upcoming quarterly AUM update, scheduled for April 13, according to Polar Capital’s corporate calendar. (Polarcapitalstrategies)
