Strong boutique inflows and retail life sales have given the group a 22 per cent increase in assets and funds under management (AUM) to $27 billion at 31 March 2011.
In a statement to the Australian Securities Exchange, the firm announced its AUM as up five per cent on the previous quarter.
Challenger Life division retail sales for the quarter were $740 million, incorporating the impact of the recent conversion of its High Yield Fund in February 2011, the statement said.
The division experienced a further $31 million of institutional sales resulting in total sales of $771m for the quarter. it said. The division AUM totalled $8.3 billion, up 24 per cent for the 12 months ended 31 March 2011 and up 8 per cent over the prior period due to strong sales.
Positive flows and market linked performance also saw boutique funds under management (FUM) increase a further $1.1 billion or nine per cent for the quarter, resulting in total boutique FUM of $13.8 billion as at 31 March 2011.
Total funds management net flows of $85 million for the period were negatively impacted by the High Yield Fund conversion, which masked otherwise strong inflows across other funds.
"We have seen a continuation of trends across our business with strong flows to our boutique partnerships and record life sales," Challenger chief executive Dominic Stevens said.
"We remain on track to meeting our FY11 retail life sales guidance which is now upgraded to in excess of $1.8bn following the conversion of the High Yield Fund."
