Australian Ethical posts over 40 per cent growth in FUM
Australian Ethical has reported a 41 per cent growth in funds under management (FUM), to $2.6 billion for the half year ending in December, 2017, thanks to strong superannuation member growth and increasing net inflows into managed funds.
At the same time, the company reported an increase in net profit after tax attributable to shareholders to $2.157 million while the consolidated statutory net profit after tax, which included the results of Australian Ethical Foundation Limited, stood at $2.318 million.
However, the underlying profit after tax ($2.157 million) was five per cent down compared with the prior corresponding period due to increased expenses associated with additional headcount in the finance, operations, risk and compliance and customer support areas.
Also, the group’s half-year revenue increased 31 per cent to $17.4 million, up from $13.3 million recorder in the previous year.
The board declared an interim fully franked dividend of 165 cents per share for the six months ended 31 December2017, which would be paid on 16 March, 2018.
Australian Ethical’s managing director, Phil Vernon said: “As already flagged to the market, we have embarked on a step-change strengthening of our support infrastructure to ensure we remain resourced to effectively manage our vigorous growth.
According to Vernon’s predictions, the growth of ethical investing would continue as people want more transparency and accountability related to their investments.
“They want to know their money is working hard to build a better world that they can enjoy in their own retirement, for their children and for generations to come,” he said.
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