Invesco's AUM up 5.6% in quarter to $683 billion
By Aaron Cunningham | November 1, 2012 12:05 pm
For the quarter, Invesco had net inflows of $11.7 billion combined with market-related increases of $22.1 billion to bring AUM up $36.4 billion from June 30.
Martin L. Flanagan, president and CEO, said in an earnings conference call that the net flows for the quarter were among the strongest in the company's history.
The inflows reversed net outflows of $8.3 billion for the prior quarter.
Invesco (IVZ)'s long-term strategies accounted for $9.4 billion of the latest quarter's net inflows, following outflows of $4.9 billion for the prior quarter and inflows of $3.3 billion a year earlier.
Actively managed strategies saw $3.6 billion of those inflows, while passive strategies gained $5.8 billion.
By asset segment, higher margin equity and alternatives strategies saw outflows of $800 million and $500 million, respectively, offset by inflows of $3.7 billion for balanced strategies, $2.1 billion for money market products and $7.2 billion for fixed-income offerings.
Pensions & Investments reported three institutional hires of Invesco for the third quarter. The $168 million Lincoln (Neb.) Fire and Police Retirement System committed $9.6 million to Invesco's balanced-risk allocation fund, the $21 billion Ohio Bureau of Workers' Compensation, Columbus, committed to the firm's core-real estate USA strategy and Japan's $1.3 trillion Government Pension Investment Fund, Tokyo, hired Invesco for emerging markets equity. Total net institutional inflows for the quarter were $5.2 billion.
Mr. Flanagan commented on the conference call that despite substantial account fundings in the second quarter, there remains an almost record amount in the institutional pipeline.
For the quarter, Invesco reported net income, under generally accepted accounting principles, attributable to common shareholders of $170.6 million, up 10.9% from the prior quarter and up 2.2% from the year before.
Revenue, meanwhile, came to $1.041 billion, up 3.2% from the prior quarter and up 4.4% from the year before.