Lazard, the global financial advisory and asset management firm, has reported assets under management (AUM) of $284.7bn for the three months ending 30 June 2026, according to its latest quarterly update released this week. The figure represents a slight increase from $283.1bn in the first quarter, driven by positive market movements that partially offset net outflows of $1.2bn.
The New York-listed company, which operates a significant advisory business in London, said its asset management segment generated quarterly net revenue of $326m, broadly flat compared with the same period last year. However, advisory revenue fell 8% year-on-year to $287m, reflecting a subdued environment for mergers and acquisitions (M&A) as higher interest rates and geopolitical uncertainty continue to weigh on dealmaking.
For UK investors and pension holders, Lazard's results offer a window into the broader health of global markets. The FTSE 100 has traded in a narrow range this month, closing at 8,214 on Friday, down 0.3% on the week, as concerns over persistent inflation in the services sector tempered optimism. Lazard's AUM growth, though modest, suggests that diversified portfolios with exposure to equities and fixed income have held up better than some feared.
Analysts at RBC Capital Markets noted in a research note that Lazard's net outflows were concentrated in lower-margin institutional mandates, while higher-fee private client assets remained stable. 'The firm's strategic pivot towards higher-fee strategies should support margins over the medium term, but near-term pressure on advisory fees remains a headwind,' they said. The company's shares rose 1.2% in after-hours trading on the New York Stock Exchange following the announcement.
The results come as the UK's asset management sector faces its own challenges, with the Investment Association reporting net retail outflows of £1.4bn in May 2026, the latest month for which data is available. Lazard's London-based team manages a range of UK-focused equity and bond funds, meaning the firm's performance is closely tied to domestic market conditions. With the Bank of England holding interest rates at 4.75% and markets pricing in a potential cut later this year, the outlook for both asset gathering and advisory work remains uncertain.