Man Group says assets fall to 36.5 billion pounds

LONDON (Reuters) - Man Group, the world's biggest listed hedge fund firm, said on Wednesday that funds under management at end-December were $53.3 billion (36.5 billion pounds), down from $67.6 billion at end-September.

The fall was primarily due to its decision to reduce investment exposure in its MGS product range, which reduced assets by $9.7 billion.

In the three months to end-December the group saw $3.2 billion of net redemptions.

"The outlook for institutional sales remains very subdued in the short term and continued institutional redemptions mean that we will see institutional net outflows until markets stabilise and confidence returns," said Chief Executive Peter Clarke.

(Reporting by Laurence Fletcher)