Treasury FUM takes volatility hit
Market volatility has impacted the Treasury Group, which has reported a 13.6 per cent decline in funds under management (FUM) to $12.49 billion for the financial year ended June 30, 2008.
The company told the Australian Securities Exchange that the decline in FUM was mainly due to falls in the Australian and global share markets and had occurred despite Treasury Group having experienced net positive inflows.
Looking at individual funds within the group, the company said that Investors Mutual FUM were impacted over the year by a slower retail market, lower ratings and lacklustre performance associated with a low exposure to the resource sector.
“IML’s value style means its portfolios remain skewed to good quality, dividend-paying industry shares, the share prices of which remain weighed on by the current uncertain economic conditions,” it said.
The company said that the Orion Asset Management funds continued to perform well with retail flows increasing over the year and with its relationship with Trilogy Global Advisers increasing FUM.
The company said that while the drop in share markets both domestically and overseas had impacted the group’s FUM, it remained well positioned to continue to grow over the long term.
AUTHOR
Mike Taylor
Recommended for you
Two law firms have highlighted licensees’ responsibility to ensure they have sufficient cyber security measures in light of the enforcement action against Fortnum Private Wealth.
A former director has pleaded guilty to providing financial product advice without holding an AFSL which saw almost $2 million transferred to him.
Commonwealth Private Limited, a subsidiary of Commonwealth Bank of Australia, has launched a wholesale offering with the help of JPMAM.
Shaw and Partners’ new national head of private wealth believes the biggest challenge for financial advisers right now is being able to deliver efficient advice delivery amid a complex regulatory environment and growing investment universe.
