Insignia Financial’s funds under management and administration (FUMA) increased by 2.2 per cent or $6.2 billion in the third quarter of the financial year to $291.3 billion.
“Growth in FUMA during the quarter reflects execution of our business strategy and stabilisation of investment markets,” commented Insignia chief executive officer Renato Mota.
In a quarterly business update released to the ASX on Wednesday, the firm reported that its total net inflows for the quarter were $660 million, bringing its total net inflows for the financial year to date to $604 million on a continuing basis
“This further highlights the benefits of our diversified business model, with positive flows in Workplace, retail asset management and institutional asset management offsetting net outflows from advised platforms, which have been impacted by market volatility and industry weakness,” said Mr Mota.
“Our workplace offering is continuing to attract strong inflows from previous business wins, while asset management has attracted strong institutional inflows.”
Insignia had $205.5 billion in funds under administration (FUA), up 2.1 per cent or $4.2 billion, due to positive market movements of $5.4 billion. However, this was partially offset by pension payments of $706 million and net outflows of $453 million.
The firm noted that its advised channel was again impacted by broader investment market volatility, suffering net outflows of $486 million during the quarter.
“We continue to see strong positive momentum in our Workplace Super offering which has seen its best quarter since the businesses came together, with net inflows of $553 million underscored by strength of ongoing superannuation guarantee contributions from members of our employer groups,” Mr Mota said.
Meanwhile, Insignia’s funds under management (FUM) grew by 2.4 per cent or $2 billion to $85.8 billion, on the back of $1.1 billion in net inflows and positive market movement of $587 million.
“As we look to the remainder of 2023, our experience and track record in disciplined execution of strategic initiatives and opportunities gives us the confidence that we will continue to deliver benefits to members as well as shareholders in the face of uncertain investment market conditions,” Mr Mota concluded.
Jon Bragg is a journalist for Momentum Media's Investor Daily, nestegg and ifa. He enjoys writing about a wide variety of financial topics and issues and exploring the many implications they have on all aspects of life.