Deutsche Bank upgrades Polar Capital as September net inflows top £0.1bn

Published 03/10/2025, 08:30
© Reuters

Investing.com -- Deutsche Bank upgraded Polar Capital (LON:POLR) to “buy” from “hold” rating, raising its target price to 600p from 550p. 

Shares of the capital market company were up 2.8% at 03:28 ET (08:28 GMT).

The brokerage estimated that the firm delivered £0.1 billion in net inflows for September, largely driven by technology-focused funds.

Assets under management rose about 15% compared with levels reported in June 2025, primarily reflecting market performance rather than new client inflows. 

Analysts at Deutsche Bank noted that Polar Capital’s specialist positioning within traditional fund management, supported by a differentiated range of funds, has allowed the firm to maintain relative resilience in net flows compared with broader industry peers. 

Concentration risks remain in sectors including technology, healthcare, financials, and emerging markets.

Despite these inflows and market-driven gains, Polar Capital has experienced a recent de-rating, both in absolute terms and relative to peers. 

Mark-to-market gains, while positive, have not fully offset pressures from broader structural challenges in the asset management industry.

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