In an ASX announcement on Monday, GQG Partners confirmed FUM had grown to US$160.4 billion as at 31 January, up from US$153 billion at the end of December.
Looking at asset class FUM, international equity increased from US$57.2 billion in December to US$60.6 billion in January, with US$900 million in reported net flows for the segment. Similarly, global equity recorded FUM of US$41.3 billion, up from US$38.8 billion, and recorded net inflows of US$500 million.
US equity rose from US$16.7 billion to US$18.5 billion, bolstered by net inflows of US$800 million.
In contrast, emerging markets equity witnessed a decline, with FUM falling to US$40 billion, from US$40.3 billion a month earlier, and saw net outflows of US$400 million.
Despite a bumpy year-end for net flows, GQG made notable gains in building the company’s size in 2024.
Namely, the fund manager experienced US$20.3 billion in inflows in the year ending 31 December 2024. Of this, fourth-quarter net flows accounted for US$2.8 billion, although December saw US$200 million in outflows overall.
Despite the slowdown seen in December, GQG said this year’s net flows almost doubled those seen in 2023, which amounted to US$10.2 billion.
Last month, in its Australian Asset Manager report for Q2 2024–25, Morningstar said that GQG was among the firms that offered the greatest value out of the local fund managers it covers, alongside Challenger and Perpetual. The pool also includes Insignia, Magellan, Pinnacle and Platinum.
“We think the market underestimates several of their merits,” equity analyst Shaun Ler said.
“For GQG, these are its strong long-term track record, below-peer average fees, widespread presence on recommended product lists and good team stability.”
Regarding GQG, the analyst is confident that weak near-term performance won’t sabotage the fund manager’s long-term track record.
“Past underperformance was short-lived as chief investment officer Rajiv Jain tends to make swift portfolio changes, meaning we don’t see it suffering from style headwinds as acutely as typical ‘value’ or ‘growth’ managers,” Ler said, adding that there are no reputational fallouts that warrant mass redemptions, as was the case with Magellan.
“The sheer size of GQG’s FUM means it is capable of earnings growth from the compounding of portfolio returns even if net flows are challenged.”
