In an ASX update, the fund manager said $1.1 billion of this went into long-short equities where its funds under management (FUM) grew from $5.9 billion a year ago to $7.5 billion, making it the firm’s largest asset class. It was also helped by $1 billion in investment performance.
This was more than double the next-largest net flows of $510 million which went into multi-strategy products where FUM rose from $608 million to $1.1 billion. This includes the listed Regal Investment Fund and the unlisted Regal Partners Private Fund, which was launched in December 2023.
Credit and royalties saw $209 million in flows with FUM rising from $3.2 billion to $6.6 billion, the second-largest asset class after long-short equities.
Real and natural assets, where the firm made an acquisition in Queensland-based water manager Argyle Group in July 2024, grew FUM from $725 million to $2.2 billion, thanks to net flows of $122 million.
However, the firm’s private market division was the only sector to see outflows of $38 million which led the division to decline from $548 million to $474 million.
Overall, total Regal FUM grew from $11 billion at the end of December 2023 to $18 billion, a rise of 63 per cent.
“This equates to a 64 per cent increase in FUM over calendar 2024 through a combination of strong net inflows, positive investment performance and the acquisition of Merricks Capital and Argyle Group in July 2024. Excluding the acquired $4.3 billion of FUM from these acquisitions, Regal’s FUM rose 25 per cent over the year.”
Looking specifically at the December quarter, it saw inflows of $720 million with Taurus Funds Management receiving $100 million from US state pension investors and Kilter Rural gaining an initial investment from a sovereign wealth fund.
Global commodity firm Taurus was acquired in November 2023, while Kilter Rural specialises in agriculture funds and was fully acquired by Regal in June 2022.
Smaller flows during the quarter went into Regal Partners Private Fund, a capital raising for the Regal Investment Fund and the PM Capital global long-short strategies.
