Praemium has increased funds under administration on its Australian separately managed account (SMA) by 45 per cent to $5.61 billion, according to the firm's annual result.
Australian and UK domiciled SMA provider Praemium has posted a net profit after tax of $1.4 million, up 106 per cent on 2016-17 figure of $688,000.
The company's core service, namely SMA administration, has grown well in the past year. Praemium's Australian SMA is up 45 per cent to $5.61 billion, and the international SMA is up 20 per cent to $2.68 billion.
Praemium has also added 23 new fund managers and a further 88 model portfolios, for a total of 72 managers and 336 managed models.
The company recorded gross asset inflows of $3 billion, an increase of 50 per cent on the previous financial year.
Overall funds under administration increased by 35 per cent to hit $8.3 billion, and undelying earnings before interest, tax, depreciation and amortisation (EBITDA) was $8.8 million.
Praemium chief executive Michael Ohanessian, who was sacked in an attempted board takeover in early 2017 only to be reinstated later that year, said the company was looking to take advantage of “the move away from providing both advice and product” with the “advent of the royal commission”.
“The managed account segment of the platform market is now growing very quickly and our depth of experience and expertise in this area places us at the forefront of this transition,” Mr Ohanessian said.
“We remain focused on maintaining our strong momentum to drive the international business towards profitability in the coming year,” he said.