Invesco on Wednesday reported $641.9 billion in assets under management as of March 31, up 4.1% from the prior quarter and up 40% from the year before.
The annual gain was buoyed by $114.6 billion in assets acquired in the second quarter of 2010, related to Invesco's purchase of Morgan Stanley Investment Management's Van Kampen mutual fund business.
The latest quarter's $25.4 billion gain reflected $9.2 billion in net inflows — with $6.6 billion in long-term flows and $2.6 billion in money market flows — $12.9 billion in market gains and $3.3 billion in foreign exchange-related gains.
The $6.6 billion in long-term inflows marked a rebound from net outflows of $17 billion for the prior quarter — which reflected a Japan-based institutional client redeeming an $18.6 billion low-fee institutional passive mandate — and an uptick from $3.6 billion in long-term inflows for the year-earlier quarter.
The company's AUM data showed some evidence of investors taking a barbell approach to their portfolios. Flows into the Invesco's ETF and passive offerings came to $8.1 billion, while a net $1.5 billion in redemptions moved from its actively managed strategies. However, by market segment, the group's alternatives strategies attracted $3.1 billion in net inflows, providing a 3.9% gain from the prior quarter to $83.5 billion.
For the latest quarter, net income attributable to common shareholders came to $177.5 million, up 1.3% from the prior quarter and up 87% from the year before. Operating revenues, meanwhile, came to $1.03 billion, down a scant 0.2% from the prior quarter but up 43% from the year before.
Invesco reported performance fees of $3.8 million for the latest quarter, down from a seasonal fourth quarter 2010 peak of $18.7 million.