Aberdeen Asset Management, the Scottish fund manager, saw its stock surge Monday after it reported better-than-expected earnings for the year and a slowdown in outflows from its emerging markets fund business.

Adjusted profit before tax came in at £352.7 million ($440) for the twelve months to Sept. 30, while adjusted earnings per share were reported at 20.7 pence, - both marking a 7% beat against the consensus.

Net outflows for the year were £32.8 billion against analyst forecasts for £34.2 billion. This is while funds under management rose to £312.1 billion, up from £283.7 billion, following a solid investment performance.

"These financial results reflect, in part, our diversified business model and strict cost management. Economic and political news flow has weighed on investor sentiment and as expected has led to further outflows from our business," said CEO Martin Gilbert.

Aberdeen Asset Management stock rose by as much as 5% to change hands at 301.0 pence in early London trading, trimming the year-to-date decline to around 0.2%.

Aberdeen stock had been hit earlier in the year over concerns about the condition of the China's economy and other emerging markets, as well as potential disruption to its European businesses stemming from the U.K.'s vote to leave the European Union in June.

Management warned of further outflows in the current quarter relating to a large institutional client, although analyst and investor sentiment on the subject has now eased, with the Liberum Capital team now forecasting much lower net-outflows for the 2017 year - at £19.2 billion.

Liberum currently rates the stock as a hold and has a 323 pence price target assigned to the shares, which implies upside of around 7% from current levels.

If you liked this article you might like

European Stocks Sink on Trump Woes and FOMC Minutes

European Stocks Sink on Trump Woes and FOMC Minutes

Hikma Sinks on Advair Generic Concerns

Hikma Sinks on Advair Generic Concerns

Bank Stocks Hit By Fed Minutes As European Markets Fall

Bank Stocks Hit By Fed Minutes As European Markets Fall

Economics, Metals Push European Markets Higher

Economics, Metals Push European Markets Higher

Strong European Data Sees Dollar Cede Ground To Euro and Pound

Strong European Data Sees Dollar Cede Ground To Euro and Pound