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.

“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.”