Man Group on Thursday predicted that full year pre-tax profits would exceed market expectations of $1.8bn (£895m) as the world’s largest listed hedge fund manager highlighted higher performance fee income and strong figures at its flagship AHL fund.

Man said in a trading update that diluted earnings per share were expected to be up 50 per cent in the fiscal year ending this month, with funds under management up to around $75bn from $61.7bn last year.