Australian Ethical FUM passes $10bn

Australian Ethical FUM ethical investment

19 April 2024
| By Laura Dew |
expand image

Australian Ethical has seen its funds under management (FUM) reach $10 billion, driven by organic customer growth and superannuation.

In its quarterly funds under management, the firm said FUM was $10.3 billion as of 31 March 2024, up 7 per cent from the end of 2023. 

Some $8.14 billion was held in superannuation and $2.19 billion was held in managed funds compared to $7.63 billion in superannuation and $2.04 billion in managed funds at the end of the previous quarter.

In the case of managed funds – which includes separately managed accounts – it was driven entirely by $0.15 billion in market movements while superannuation was driven by both market movements of $0.38 billion and $0.13 billion in net flows. 

The firm reported strong investment performance of $531 million during the quarter.

Managing director, John McMurdo, said: “We’ve seen another quarter of positive flows due to continuing organic customer growth, increased superannuation guarantee contributions, and strong investment performance.

“This result points to the success of our growth strategy, which has seen us increase scale to serve the growing addressable market more effectively. We are continuing to deliver on Australian Ethical’s Theory of Change, the dual purpose of which is to help people, animals and the planet thrive, and our customers prosper through their choice of ethical investments."

The firm’s Theory of Change works to effectively fight climate change via research and foundation grants. It utilises global research called Project Drawdown by environmentalist Paul Hawken on the most effective solutions to address climate change which Australian Ethical uses to target initiatives across people, planet and animals.

It also funds new innovative projects via Visionary Grants and Strategic Grants to fund proven and scaleable projects across three themes of helping stop sources of carbon, supporting carbon sinks, and empowering women and girls. 

Earlier this year, the firm launched an infrastructure debt fund which will provide capital for key Australian projects spanning renewable energy, social infrastructure and property projects, with a social or environmental benefit. 

Infrastructure debt specialist, Infradebt, has already funded more than 40 renewables projects and said infrastructure debt typically offers stable and predictable cash flow and diversification, as well as a way to hedge market volatility and inflation.  

Read more about:


Add new comment

The content of this field is kept private and will not be shown publicly.

Recommended for you



sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry


Dear CEO and board, It's time to start some VERY HEAVY LOBBYING on behalf of advisers which could save your platform re...

13 hours 30 minutes ago

He is every thing ASIC said he was BUT How on earth did he expect to get away with it????? . these guy's who dip in...

15 hours 43 minutes ago
Chris Cornish

A tad optimistic from Morningstar. Adviser numbers are somewhat irrelevant; it all comes down to the platform and whethe...

16 hours 49 minutes ago

A former financial adviser has been banned by ASIC from providing financial services for inappropriate advice, among multiple breaches....

1 week 1 day ago

Treasurer Jim Chalmers has handed down his third budget, outlining the government’s macroeconomic forecasts and changes to superannuation....

2 weeks 2 days ago

Iress has announced it is strengthening its security settings after suffering an unauthorised access of its systems over the weekend....

2 weeks 3 days ago