Perpetual posts 3.6% increase in AUM in Q2
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The news: Investment manager Perpetual reported a 3.6% rise in assets under management (AUM) during the December quarter, despite most of its boutiques posting outflows.
The numbers: Total AUM grew from $222.3 billion to $230.2 billion during the three months to December, primarily due to positive currency movements of $15.8 billion.
The rise was offset by net outflows of $3.8 billion and negative market movements of $4.1 billion.
Average AUM was $227 billion compared to $220.7 billion in the September quarter.
The company’s boutiques recorded the following changes in AUM and net flows:
- Barrow Hanley grew 8.4% to $85.1 billion with outflows of $400 million;
- J O Hambro fell 1.9% to $37.5 billion, with outflows of $1.6 billion;
- Pendal Asset Management fell 1.7% to $44.7 billion, with outflows of $1.1 billion;
- Perpetual Asset Management grew 1.7% to $22.1 billion, with inflows of $400 million;
- Trillium grew 6.2% $9.8 billion, with outflows of $300 million; and
- TSW grew 5% to $31.5 billion, with outflows of $300 million.
In its corporate trust business, Perpetual’s funds under administration (FUA) grew 2.5% quarter on quarter to $1.25 trillion. Wealth management FUA rose 1% to $20.6 billion.
The context: Perpetual said it experienced a "mixed performance" during the December quarter. While its asset management business was supported by positive currency movements, it was also impacted by a decline in global and US value indices over the quarter, as well as net outflows.
Meanwhile, the company said it is "continuing to engage constructively" with private equity firm KKR over its proposed $2.2 billion divestment, announced last year.
The source: ASX announcement
