Invesco on Monday reported a record $604.5 billion in client assets as of Sept. 30, up 8.4% from the prior quarter and 35% above from the year before.
Invesco’s second-quarter purchase of Morgan Stanley’s $115 billion retail asset management business was a major factor in the firm’s year-over-year jump in AUM.
According to the firm’s latest earnings release, long-term net inflows accounted for $4.9 billion of the $46.8 billion increase in AUM from the prior quarter, while market-related gains added $34.4 billion. Foreign currency-related gains came to $8.2 billion for the quarter, while acquisitions added a net $1.7 billion. Those combined gains more than offset $2.4 billion in net outflows from institutional money market funds.
The $4.9 billion of net long-term inflows were down from $13.9 billion in the previous quarter, but up from $4 billion for the year-earlier quarter.
Exchange-traded funds, unit investment trusts and passive strategies accounted for $3.6 billion of the $4.9 billion in net inflows.
By asset class, Invesco’s fixed-income offerings enjoyed $6.1 billion of net inflows, while equity strategies saw net outflows of $1.2 billion.
The firm reported net income of $154.7 million, up 279% from the prior quarter, when the company took a $79.3 million charge related to the June 1 Morgan Stanley purchase and integration charges, and up 47% from the year before.
Operating revenues for the latest quarter came to $953.1 million, up 21% from the prior quarter and up 35% from the year before.
