Raiz Invest loses 20.1% in FUM in March



Since the COVID-19 pandemic ramped up over the last month, Raiz Invest has experienced a 22.5% loss in retail funds under management and a 6.5% loss in superannuation FUM and is reviewing its staffing levels.
In an announcement to the Australian Securities Exchange (ASX), Raiz said its retail FUM stood at $305.3 million at 31 March, 2020, and $66.3 million for its super fund FUM.
This was a total FUM of $371.5 million, after a 20.1% loss over the last month.
Raiz Invest chief executive, George Lucas, said: “Despite the difficult times for the many young people losing their jobs as a direct consequence of the economic fallout from the COVID-19 pandemic, the vast majority are remaining loyal to Raiz with March active customers only falling 2.4%.
“We are well placed to emerge from both the public health and economic crises in a solid financial position, in large part due to this customer loyalty but also because of the $7.5 million capital raise late last year and strong in cash and cash equivalent position.
“However, these are uncertain times and we are reviewing staffing levels, senior management salaries, directors’ fees, and other fixed costs to ensure the company continues to provide the best services to our customers throughout this difficult period.”
Recommended for you
Having seen inflows of US$5.6 billion to its fixed income funds in the last quarter, Janus Henderson has closed on a deal with life insurer Guardian to secure funds to boost its product development.
One of Metrics’ four managing partners is to step back from the business next year, having worked at the firm since its inception in 2011.
VanEck’s Bitcoin ETF has amassed $290 million in assets in its first year, but the ETF provider has said financial advisers remain skeptical of the asset.
State Street has rebranded its State Street Global Advisors arm, which has US$4.6 trillion in assets under management, following a series of deals with financial services firms in recent months.