Liontrust saw a small decline in AuM (-0.8%) during Q1 on £7m net outflows and £29m negative performance. This has already been retraced in Q2 and AuM is now up YTD. Retail flows have improved following the General Election. We trim our FY16e EPS forecast by 5% updating our model for the Q1 outturn. We remain positive on the opportunities available to grow AuM, earnings and the dividend but, following a strong run in the share price, move to HOLD (from BUY) on a 343p 12m TP.
