Magellan Financial Group (ASX:MFG) - Chair, Hamish Douglass
Chair, Hamish Douglass
Source: LinkedIn
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  • Magellan Financial Group (MFG) records net outflows of $17.8 billion over the December quarter
  • This figure adds to the loss of the St James’ Place mandate which resulted in a $23 billion reduction in institutional funds under management
  • In its funds update for the December quarter, Magellan showed funds under management of $95.5 billion, down from $133.3 billion reported for the September quarter
  • Excluding the St James’ Place termination, MFG saw net outflows of $1.09 billion from retail investors and institutional outflows of $459 million
  • At market open, shares were down one per cent at $20.38

Magellan Financial Group’s funds under management fell by $17.8 billion in the December quarter, adding to the loss of the St James Place mandate reported last month.

In its funds update for the December quarter, Magellan showed funds under management of $95.5 billion, down from $133.3 billion reported for the September quarter.

Excluding the termination of the St James’s Place institutional mandate of $23bn, MFG saw net outflows of $1.09 billion from retail investors and institutional outflows of $459 million.

Magellan’s update said for the six months ended December 31 base management fees were about 62 basis points, per annum, of the average of month-end funds under management.

Despite the outflows, funds under management (FUM) averaged $112.7 billion for the six month period, compared to $100.1 billion for the prior corresponding period.

The company is reportedly entitled to performance fees of about $11m for the six months ended December 31, but cautioned those fees “may fluctuate significantly” from period to period. 

“The run rate of base management fees based on closing funds under management at 31 December 2021 is broadly in line year-on-year,” Magellan’s statement said.

At market open shares were down one per cent at $20.38.

MFG by the numbers
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