Back to top

Analyst Blog

Franklin Resources Inc. (BEN - Analyst Report) declared preliminary assets under management (AUM) of $886.9 billion by its subsidiaries for Mar 2014. The company’s results exhibited a marginal rise of 0.5% from $882.2 billion as of Feb 28, 2014. Moreover, it surged 7.7% from $823.7 billion as of Mar 31, 2013.

Month-end total equity assets came in at $372.9 billion for Franklin, up 0.6% from the prior month and 16.6% on a year-over-year basis. Of the total equity assets, around 70% were from international sources, while the remaining 30% were from the U.S.

Total fixed income assets were $353.7 billion, almost in line with the prior month, while down 4.2% from $369.2 billion as of Mar 31, 2013. Overall, tax-free assets accounted for only 20% of the fixed income assets, while the remaining 80% were taxable.

Franklin recorded $154.0 billion in hybrid assets, which jumped 1.8% from $151.3 billion in the prior month and 19.2% from $129.2 billion in the prior-year month.

Cash management funds were reported at $6.3 billion, down from $6.4 billion in the prior month but up from $5.4 billion in the prior-year month.

Quarterly Performance

On a quarterly basis, as of Dec 31, 2013, total AUM was $879.1 billion, up from $781.8 billion as of Dec 31, 2012, driven by market appreciation of $77.3 billion and $24.0 billion of net new flows. Simple monthly average AUM of $865.9 billion during the quarter climbed 13% year over year.

Among other asset managers, Invesco Ltd. (IVZ - Analyst Report) and Legg Mason Inc. (LM - Analyst Report) are expected to release preliminary AUM for Mar 2014 later this week.

Our Viewpoint

Franklin's global footprint is a favorable strategic point as its AUM is well diversified. The company is also poised to benefit from its strong balance sheet. However, regulatory restrictions and sluggish economic growth could mar AUM improvement and alleviate costs.

Franklin currently carries a Zacks Rank #3 (Hold). However, a better performing company in the same industry with a Zacks Rank #1 (Strong Buy) is Lazard Ltd. (LAZ - Analyst Report).

Read the Full Research Report on IVZ
Read the Full Research Report on LM
Read the Full Research Report on BEN
Read the Full Research Report on LAZ

Zacks Investment Research

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
ERBA DIAGNO… ERB 2.99 +2.75%
CHIPOTLE ME… CMG 690.10 +1.72%
CHINA BIOLO… CBPO 46.80 +1.60%
ILLUMINA IN… ILMN 174.75 +1.03%
INTEL CP INTC 34.84 +0.97%