Perpetual shares lower after heavy outflows
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More news: Perpetual shares dipped in morning trading on the ASX after the investment manager reported a rise in assets under management during the March quarter, amid heavy outflows.
Shares were trading 2.1% lower at $24.17 by 11:40am AEST.
Market gains help Perpetual offset $5.2b in outflows
The news: Investment manager Perpetual’s assets under management rose during the March quarter on the back of stronger markets, helping offset heavy outflows.
The numbers: Perpetual said assets under management increased to $227.4 billion at March-end, up from $213.9 billion at the end of December.
This was despite net outflows of $5.2 billion in the quarter. Its Barrow Hanley US equities strategy had the largest outflow of $1.4 billion.
The context: The investment firm saw a positive impact of $11.9 billion from market movements as well as gains of $6.8 billion from currency movements.
Perpetual last year acquired Pendal Group but also rejected a $3 billion takeover bid from its largest shareholder Soul Patts.
At the end of last year, the group announced a strategic review of its corporate trust and wealth management businesses. Today, it said a detailed update would be released on 8 May.
What they said: Perpetual CEO Rob Adams said: “In asset management, stronger equity markets in all key regions, as well as favourable currency movements, saw a 6% uplift in our assets under management, offsetting what was a disappointing quarter of net outflows of $5.2 billion".
The source: ASX announcement
