Jupiter Fund Management was struck by £1.3bn of cash outflows in the first quarter of this year, it revealed in an update this morning, after experiencing a "challenging" start to 2018.
The company's assets under management had shrunk to £46.9bn by the end of March, which chief executive Maarten Slendebroek said was "not unexpected".
Nonetheless, Jupiter's share price had slumped almost five per cent by afternoon trading.
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"We have seen a period of market turbulence together with subdued demand, resulting in net outflows of £1.3bn in the first quarter," said Slendebroek.
"The growth of assets sourced from international distribution partners has changed Jupiters flow profile to being less predictable in the short term. As a result, in future we expect to see continued growth but with higher quarterly differentiation."
In the first three months of 2018, Jupiter saw clients withdraw money across its mutual funds, segregated mandates and investment trusts.
Even the fixed income strategy, responsible for the majority of 2017's mutual fund net inflows, saw outflows.
The European growth and multi-asset strategies however had a positive quarter, while geography-wise the UK remained broadly flat as continental Europe and Asia contributed the biggest outflows.
In segregated mandates, one long-standing institutional client withdrew assets as it "rebalanced its portfolio".
Despite today's lacklustre update, Jupiter said its "diversification by product, client type and geography and our approach to active asset management leave us well placed".
Analysts at Cantor Fitzgerald reiterated a "hold" rating, but cut their target price from 560p to 500p.
"Quarterly flows, especially in fixed income, have become more volatile but we expect further growth in assets under management from net inflows over the year as a whole," said Cantor's Keith Baird.
Meanwhile Shore Capital analysts contrasted Jupiter's outflows with inflows to Polar Capital Holdings, Man Group and Ashmore.
"While we continue to believe management are demonstrating good execution of a diversification strategy (to dilute the heavily reliance on the UK retail market), we remain concerned at the exposure to a UK regulator determined to reduce the overall cost of investment in the retail market," said Shore's Paul McGinnis, in reference to the Financial Conduct Authority's push to improve fee transparency among fund managers.
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