Invesco February AUM Declines On Unfavorable Market & Outflows

Invesco (NYSE:IVZ) announced its assets under management (AUM) for February 2020. The company’s preliminary month-end AUM of $1,159.4 billion represents a decline of 4.9% from the previous month.

The decline was due to unfavorable market returns, net long-term outflows and net outflows in money market AUM, partly offset by net inflows in non-management fee earning AUM and reinvested distributions. Also, unfavorable foreign-exchange movement resulted in a fall in the monthly AUM by $3.9 billion.

Invesco’s preliminary average total AUM for the quarter through February was $1,228.9 billion, while preliminary average active AUM totaled $925 billion.

At the end of the reported month, the company’s Equity AUM decreased 8.3% from the prior month to $537.8 billion. Balanced AUM for February was $62.5 billion, down 6.6% sequentially.

Also, Alternatives AUM fell 3.8% from the prior month to $177.4 billion. Further, Money Market AUM declined 2.1% from the prior month to $91.5 billion. However, Fixed Income AUM of $290.2 billion increased marginally from the previous month.

Improving AUM balance, strategic acquisitions and increasing global presence augur well for the company’s prospects.

Shares of Invesco have lost 34.3% in the past year compared with a 20.8% decline recorded by the industry.

Currently, the company carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of Other Asset Managers

Interactive Brokers (NASDAQ:IBKR) released its Electronic Brokerage segment’s performance metrics for February 2020. The segment reported an increase in Daily Average Revenue Trades (DARTs). Total client DARTs were 1,346,000, rising 32% from January 2020 and 63% from February 2019.

Cohen & Steers (NYSE:CNS) reported preliminary AUM of $69.3 billion as of Feb 29, 2020, down 5.5% from the prior-month level. Market depreciation of $4.4 billion and distributions of $194 million were partially offset by net inflows of $593 million.

Franklin Resources (NYSE:BEN) reported a fall in preliminary month-end AUM balance. The company’s AUM balance as of Feb 29, 2020, declined 4.6% sequentially to $656.5 billion. The decrease was largely due to sharp market declines.

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