Regal shares climb after FUM boost, performance fees uplift
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More news: Regal Partners climbed on the ASX after recording an increase to funds under management during the June quarter, and upgraded its expectations for half-year performance fee revenue.
Regal shares were up 1.9% to $3.72 by 1:25pm AEST. Over the past 12 months the stock has surged 45.88%.
Regal Partners lifts performance fees and FUM
The news: Investment manager Regal Partners has reported a lift in its funds under management during the June quarter and upgraded its expectation for half-year performance fee revenue.
The numbers: Regal’s funds under management (FUM) rose to $12.27 billion at the end of June, with net inflows of $300 million during the quarter and positive investment performance contributing another $300 million.
The company also lifted its estimate for first-half performance fee revenue to $59 million from its $55 million to 56 million guidance outlined in early July. It reported $8 million in performance fees a year ago.
The context: Regal’s funds under management were higher than its earlier estimate of $12.2 billion, with net inflows boosted by contributions coming from the establishment of a new long/short separately managed account and a top-up to an Attunga Capital mandate.
The investment performance for the quarter reflected favourable returns across a range of long/short equities funds and the Regal Partners Private Fund, the group said.
The alternative investment manager was formed in 2022 through the merger of rival hedge funds Regal Funds Management and VGI Partners and last year doubled its funds under management to $11 billion, boosted by the acquisition of rival PM Capital and a 50% stake in Taurus Funds Management.
Its FUM is set to rise to $16.5 billion after completing its acquisition of Merricks Capital earlier this month and completing its purchase of a 40% stake in Argyle Group this week.
The source: ASX announcement
