Shares in Jupiter shed 4.9 percent while fund supermarket Hargreaves Lansdown was down 6.8 percent by 1000 GMT, having earlier touched a five-month low.

European shares fell to 20-month lows after U.S. technology stocks, which have been driving a multi-year market rally, posted heavy losses overnight.

Jupiter reported net outflows of 800 million pounds ($1.06 billion) in its third quarter on Thursday.

That figure was above consensus forecasts, UBS analyst Michael Werner said, which had been for outflows of 840 million pounds for all of the second half. "A good portion was taken out by the numbers reported this morning," he said.

Jupiter said its assets under management slid to 47.7 billion pounds at Sept. 30 from the half year, with outflows of 600 million pounds in the fixed income strategy, mainly in continental Europe.

Market sentiment took a knock in the third quarter from rising global political and trade tensions, with European investors once again concerned about the outlook for debt-laden Italy.

Jupiter's European opportunities and funds of funds strategies also suffered outflows, it said in the trading statement, which covered the three months to the end of September. However, it saw positive flows into its European growth, value equities and absolute return strategies.

By 0930 GMT on Thursday, Britain's FTSE 100 <.FTSE> was down 1.7 percent after the S&P 500 suffered its sharpest one-day fall since February on Wednesday.

"Typically the share price (of asset managers) will tend to move more than underlying market performance", Werner said. "If they're underperforming today, that's not all that surprising."

Hargreaves, which offers a range of funds and other financial services through its online platform, posted a 3 percent rise in assets for its first quarter on Thursday.

Assets rose to 94.1 billion pounds in the three months ending Sept. 30, buoyed by 1.3 billion pounds in net new business and positive market moves, which added a further 1.2 billion pounds.

Hargreaves said it had added 29,000 new clients to its platform during the period, underpinning a 16 percent revenue jump to 120.8 million pounds.

Shares in fund managers Man Group and Ashmore Group, which will post its third-quarter trading statement on Friday, were down 3.8 percent and 1.3 percent, respectively, at 1000 GMT, respectively.

($1 = 0.7567 pounds)

(Reporting by Maiya Keidan, additional reporting by Marc Jones, editing by Sinead Cruise amd Jan Harvey)

By Maiya Keidan and Simon Jessop