A string of monthly outflows has slashed funds under management at the company by almost $1 billion this year.
Platinum Asset Management suffered $209 million in customer outflows last month, underscoring the pressure facing fund managers as investors grow nervous against the backdrop of a declining sharemarket.
The decline in flows and the drop in equity markets have intensified pressure on Platinum’s balance sheet given revenue is earned as a percentage of funds under management. Shaun Ler, an analyst covering fund managers for Morningstar, said the persistent outflows reflect the seesawing investment performance at Platinum and the range of alternative strategies in the local market.
Shares in Magellan have also fallen by a third this year and have lost four-fifths of their value from the peak, which in Magellan’s case occurred in February 2020, just before the rapid sell-off triggered by COVID-19.The decline for the two listed fund managers has dragged them both off popular sharemarket indices. Platinum will no longer sit in the SP/ASX 200 when the benchmark is reordered later this month.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Superhero and Swyftx unveil ‘$1.5b’ mergerGyrations in share and crypto markets have not deterred the two businesses from joining forces in their bid to create a “super app” with 800,000 customers.
Read more »
‘Let’s team up’: Crypto exchange in $1.5b surprise mergerCrypto exchange Swyftx and equities trading platform Superhero have announced a surprise merger of the two companies in a move that could see the combined $1.5 billion trading giant list on the ASX in the future.
Read more »
Superhero and Swyftx unveil ‘$1.5b’ mergerGyrations in share and crypto markets have not deterred the two businesses from joining forces in their bid to create a “super app” with 800,000 customers.
Read more »
Fundies add Galileo Mining to M&A watch listWest Australian cobalt and nickel explorer Galileo Mining has landed on the radar of resources fund managers, who reckon it could be IGO’s next target.
Read more »
Fundie’s $25m investment mansion grabs second-highest sale in MosmanMike Messara took just two weeks to sell his property in the prestigious Sydney suburb, scoring a capital gain of more than $3 million in just 16 months.
Read more »
Fundies jockey for Domino’s Pizza sharesThere’s been a lot of movement on the Domino’s share register as one of the best-performing stocks on the local market delivers wild share price swings.
Read more »