Platinum AM posts lower revenue

The challenging investment market in the second half of last year saw Platinum Asset Management’s total revenue down by close to 30 per cent decrease (28.5 per cent) compared to the previous corresponding period.

The company also saw a decline in overall profits attributable to owners of 26.7 per cent to $74.9 million, counting year-on-year. In the market announcement issue to the Australian Securities Exchange (ASX) platinum said it was mainly due to the challenging equity markets in the half-year which caused the company to both record an unrealised loss on its seed investments and generate little in the way of absolute return related performance fee income.

“While both these items detracted from the half-year profit, they remain important long-term contributors to the company’s profits,” the firm said in the statement.

Related News:

At the same time, profit from ordinary activities after income tax was 38 per cent down to $65.2 million.

The underlying funds management business proved resilient with management fees increasing by 2.5 per cent for the half-year when compared to the previous corresponding period. And it was assisted by a positive mix shift in funds under management (FUM) towards retail.

The board declared dividend of 13 cents per share fully-franked compared to 16 cents per share fully-franked for the half-year ended 31 December, 2017.

Related Content

Product providers should rebate grandfathered commissions says FPA

Financial services product providers should be responsible for rebating grandfathered commissions to clients who should get the full dollar amount, ac...Read more

Former AFS AR gets 10 years’ jail

A former financial adviser who advised clients to set up self-managed superannuation funds (SMSFs) but used the money for his own purposes has been se...Read more

Don’t incentivise planners via commission rebates says ISA

Government proposals to rebate grandfathered commissions to clients via product providers would represent a significant abrogation of one of the key r...Read more



Add new comment