Man Group, a London-based asset manager, has posted has loss before tax of $272m for the financial year ended 31 December 2016, compared to a profit of $184m in the prior year.

The company said that the results were driven by the impairment of GLG and FRM goodwill and intangibles of $281m and $98m respectively.

The company’s adjusted profit before tax was $205m, a decrease of 49% compared to $400m a year ago.

Net revenues slumped 26% to $803m from $1.08bn in the previous year.

The company's funds under management (FUM) at the end of December 2016 were $80.9bn, up 3% from $78.7bn in 2015. Net inflows were $1.9bn in 2016, compared to $0.3bn last year.

Man Group CEO Luke Ellis said: “2016 was a challenging year for the investment management industry and despite respectable relative performance from our strategies, this is reflected in our results.

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“Against this backdrop, we have made real progress in positioning the firm for the future. We delivered positive net flows, in a year when our industry saw outflows. We had positive alpha across our long only strategies, during a year in which many questioned the benefits of active management.

“We put in place a revised management structure and continued to control our cost base, and the majority of our performance fee eligible funds ended the year at, or close to, high water mark.”