Perpetual shares rise as funds stabilise, guidance is reaffirmed

The news: Investment manager Perpetual has reaffirmed guidance and says net funds are stabilising a few months after posting a 42% annual profit slide.

The numbers: Perpetual's assets under management (AUM) held steady at $211.7 billion for the quarter ending 30 September, with net inflows of $100 million. Assets under management in Trillium, a Perpetual acquisition in 2020, have increased from $5.6 billion to $9.7 billion since the takeover. Perpetual reiterated total expense growth guidance of 27-31%, noting the effect of the declining Aussie dollar against its expense base. The company's shares were 2.5% higher at around 12.50pm AEDT.

The context: Perpetual has been shifting tack since posting a 42% profit slide in FY23, shuttering two funds and parting ways with a number of portfolio managers and support staff, the Australian Financial Review reports.

What they said: "Delivering positive net inflows despite the current operating environment, with volatility impacting markets and investor confidence globally, demonstrates the quality and diversity of our broad capability set and our emerging strength in distribution," Perpetual managing director and chief executive Rob Adams said in a statement.