Magellan FUM grows after fund conversion completion
Funds under management (FUM) at Magellan Financial Group grew during September to reach $38 billion.
In an ASX statement, the firm said FUM grew from $37.8 billion in August to $38 billion.
This was divided by $15.7 billion in retail funds, down from $16 billion, and $22.3 billion in institutional funds which was up from $21.8 billion in the previous month.
“In September, Magellan experienced net outflows of $0.2 billion, which included net retail outflows of $0.2 billion. Net institutional flows were flat.”
This was an improvement after the firm saw $0.7 billion in outflows in August, mostly from retail clients, after the conversion of the Magellan Global Fund closed class units into open class units.
In July, the firm received approval from the NSW Supreme Court to convert the Magellan Global Fund from a closed class unit to an open-ended Active ETF. Responsible entity Magellan Asset Management subsequently amended the fund and it was delisted from the ASX.
Breaking it down by asset class in September, FUM in its infrastructure and Australian equities funds grew while global equities fell month-on-month.
Global equities fell from $14.2 billion to $13.9 billion, but infrastructure equities rose from $16.5 billion to $16.8 billion. Its Australian equities division, which includes Airlie Funds Management, grew from $7.1 billion to $7.3 billion.
Last week, the firm announced it had appointed Joe Wright as a deputy portfolio manager on its $705 million Airlie Australian Share Fund, working alongside Emma Fisher and Matt Williams. Wright joined the investment team of Airlie as an equity analyst in June 2021. Previously he worked as an equity analyst in the Australian equity team at Schroders.
Since the start of 2024, FUM at the asset manager has risen slightly from $35.8 billion in January to $38 billion – a rise of 6.1 per cent.
In its FY24 results, the firm announced that it had acquired 29.5 per cent of the parent company of Vinva Investment Management, Vinva Holdings, for $138.5 million.
Vinva manages active systematic equity strategies across Australian and global equity markets and has $22 billion in funds under management, having been founded in 2010.
This will see it distribute Vinva’s products and investment strategies through its global distribution team as part of an exclusive distribution agreement, excluding Australian institutional clients. The two firms also intend to collaborate on new product initiatives in Australia and globally.
AUTHOR
Laura Dew
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