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UK investment firm BlueBay Asset Management said its assets under management rose to $21 billion at the end of June, a gain of $2.2 billion over the quarter. The listed firm chalked up £5.2 million in performance fees over the six month period to 30 June, which took performance fees for the full fiscal year to £23.9 million.

Investment returns were negative, however. The weighted average return, net of fees, generated by the BlueBay's long/short hedge funds over the full fiscal year was negative 3.4 per cent, during what has been a turbulent time in financial markets.

BlueBay is a firm that specialises in the fixed income sector.   

"As we observed both last month and at the time of our prior trading statement in April, credit market conditions have been and remain difficult,” Hugh Willis, BlueBay's chief executive, said. “It is gratifying that, over the fiscal year, BlueBay has seen $7.1 billion of net inflows into its funds - equal to more than half of the starting assets for the period,” he said.

BlueBay, which was founded in 1991, will announce its preliminary results on 18 September.