In an ASX update on Tuesday, Praemium reported total funds under administration (FUA) to be $59.4 billion at 30 September, up from $57.3 billion in the previous quarter and $44.5 billion a year ago.
Breaking this down, platform FUA was $29 billion at the end of the quarter, which included a 5 per cent jump for Praemium separately managed accounts (SMA) to $11.9 billion.
Powerwrap saw a 2 per cent increase to $12.9 billion, while the recent addition of OneVue also contributed to FUA growth, at $4.2 billion.
Chief executive Anthony Wamsteker described the quarter as “extremely pleasing”.
“We are well placed for further growth with the launch of Spectrum, our next-generation investor directed portfolio service (IDPS),” Wamsteker said.
Moreover, the firm said that 1Q25 reported positive flows of $139 million compared to outflows of $414 million in the June quarter.
According to Praemium, net platform inflows were supported by $837 million in positive market movements.
Namely, the Praemium SMA saw inflows of $165 million, up from $149 million, and OneVue saw inflows of $34 million compared to outflows of $126 million in June.
Powerwrap continued to see outflows, but at $60 million, far less than the $437 million reported in June, which Praemium attributed to new clients and strong inflows from incumbents which offset departing advisers.
OneVue was acquired by Praemium from Iress earlier this year and the firm said that it was “on track” with synergy realisation, technology and product transitions.
Regarding the improvement in Powerwrap outflows, the CEO said it had gained $40 million from a newly added advisory group.
“Powerwrap’s non-systemic outflows, associated with transitioning advisers, were largely offset by much-improved net flows from a range of incumbent clients, as well as $40 million from a newly added advisory group,” Wamsteker said.
“Powerwrap’s gross outflows from transitioning advisers were approximately $1 billion for the most recent financial year and continued at that rate in the quarter to 30 September.
“Absent any further adviser movement, it is currently estimated to continue at a similar rate for at least another quarter. Over the long term, Praemium and Powerwrap clients have typically grown their businesses at strong rates. This should ameliorate the negative impact of the transitions which might arise from the known adviser exits.”
