Magellan reported FUM of $65 billion at the end of May, down slightly from $68.6 billion a month earlier.
In an ASX listing on Monday, Australian equities dropped to $9.1 billion from $9.9 billion, while global equities contracted to $35.2 billion from $38 billion, and infrastructure equities remained flat at $20.7 billion.
Retail FUM, which is becoming increasingly crucial for the business, dipped to $23.6 billion on 31 May from $24.8 billion on 29 April. Institutional FUM followed the downward trend, dropping to $41.4 billion from $43.8 billion.
Magellan has had a tumultuous year after in February it was announced chief investment officer Hamish Douglass would be taking an indefinite leave of absence on medical grounds. Just months earlier, Magellan suffered a hefty setback when St James’s Place withdrew its mandate worth $24 billion in FUM.
Magellan’s has since shifted its focus to strengthening governance and accountability across the business.
Last month, the fund manager announced the appointment of David George as CEO and managing director.
Mr George, who will take on the role effective 8 August 2022, most recently worked as the deputy chief investment officer, public markets, at the Future Fund where he was “pivotal” in driving investment processes.
Commenting on the appointment, Magellan chairman Hamish McLennan said: “We acknowledge that there is more work to do. I am very confident that David, working with Magellan’s best-in-class team, will achieve strong client outcomes over the years.”
Magellan’s FUM sunk 6.8 per cent to $87.1 billion as at 9 February, on the back of Mr Douglass’ unexpected departure. The firm has since experienced net outflows of just under $20 billion.
Maja Garaca Djurdjevic
Maja's career in journalism spans well over a decade across finance, business and politics. Now an experienced editor and reporter across all elements of the financial services sector, prior to joining Momentum Media, Maja reported for several established news outlets in Southeast Europe, scrutinising key processes in post-conflict societies.
