UPDATE: Bank of America Reiterates Neutral Rating, Raises PT on Manning and Napier on 4Q EPS

In a report published Friday, Bank of America reiterated its Neutral rating on Manning and Napier

, and raised its price target from $14.00 to $16.50. Bank of America noted, “We see MN as an attractive franchise with a distinct investment culture and approach, but we are cautious due to deteriorating fund flows. While it has grown AUM rapidly in the last five years, in our view, recent fund underperformance and outflows are a risk. Key positives include strong long-term investment performance and a separate accounts business that appears to be very sticky. In addition, MN has above-average fees and margins, the latter helped by very flexible compensation.” Manning and Napier closed on Thursday at $15.40.