T. Rowe Price AUM rises 3% in quarter on continued net inflows

T. Rowe Price Group reported assets under management of $1.044 trillion as of June 30, up 2.9% from the end of the previous quarter and 15.5% higher than the end of the second quarter 2017, the company said Wednesday in its quarterly earnings statement.

Net inflows in the quarter ended June 30 were $7.6 billion, compared to net inflows of $11.3 billion in the prior quarter and net inflows of $3.7 billion in the year-earlier quarter.

By asset class, equities attracted the highest net inflow of $3.8 billion in the second quarter 2018 vs. net inflows of $2.8 billion in the previous three-month period and net outflows of $1.4 billion in the quarter ended June 30, 2017. T. Rowe Price reported combined net flows for equity and multiasset class strategies in the second quarter 2017.

Multiasset class strategies attracted net inflows of $2.6 billion in the second quarter and net inflows of $6.4 billion in the previous quarter.

Combined reporting for fixed-income strategies and money market funds showed net inflows of $1.2 billion in the quarter ended June 30, compared to net inflows of $2.1 billion in the previous quarter and $5.1 billion in the year-earlier quarter.

By investment vehicle, T. Rowe Price mutual funds experienced net outflows of $700 million in the three months ended June 30, compared to net outflows of $800 million in the prior quarter and net outflows of $5.7 billion in the quarter ended June 30, 2017.

Other investment vehicles managed by T. Rowe Price had net inflows of $8.3 billion in the second quarter, compared to net inflows of $12.1 billion in the previous quarter and net inflows of $9.4 billion in the year-earlier quarter.

The company's net revenue in the second quarter was $1.345 billion, up 1.3% from the previous quarter and up 13.4% from the second quarter of 2017.

Net income in the quarter ended June 30 was down 1.1% to $448.9 million from the previous quarter and up 20.1% over the same quarter a year earlier.

"In a second quarter where attractive U.S. equity returns proved the exception to volatile global markets, T. Rowe Price continued to perform well," said William J. Stromberg, the company's president and CEO, in a news release accompanying the firm's earnings report.

"We were pleased with the continued strength and diversification of net inflows across asset classes, client segments and geographies," Mr. Stromberg added.