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Lazard's (LAZ) August AUM Slips 3.6% on Market Depreciation

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Lazard Ltd. (LAZ - Free Report) recorded a 3.6% decline in preliminary assets under management (AUM) as of Aug 31, 2022, from the previous month’s reading. The total AUM balance aggregated $216.9 billion, marking a decrease from the $225 billion reported in July.

The August AUM entailed a market depreciation of $5.2 billion, a negative foreign-exchange impact of $2.2 billion and net outflows of $0.7 billion.

Lazard’s equity AUM for August declined 4.3% from the prior month to $170.6 billion. Also, fixed-income AUM of $40.1 billion fell 1.4% sequentially. However, Other assets rose 2.1% to $6.2 billion.

Lazard is expected to capitalize on its forte of organic growth, highlighted by a robust revenue growth trend, which might get support from any improvement in the AUM balance. Also, investment in the Asset Management segment, aimed at scaling the platform and introducing investment strategies to enhance Lazard's competitive edge, is a strategic fit. However, increased dependence on advisory revenues and continued net outflows over the past months are major concerns.

The stock has rallied 5.8% over the past six months against a 10.1% decline witnessed by the industry.


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Currently, Lazard carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Competitive Landscape

Cohen & Steers (CNS - Free Report) reported a preliminary AUM of $89.8 billion as of Aug 31, 2022. This reflects a decrease of 4.5% from the prior month.

The fall in CNS’ AUM balance was mainly due to market depreciation of $4.2 billion and distributions of $180 million. However, this was partly offset by net inflows of $197 million.

AllianceBernstein Holding L.P.’s (AB - Free Report) preliminary month-end AUM was $667 billion. This reflects a fall of 3.2% from the end of July 2022.

Market depreciation resulted in a decline in AB’s AUM balance. However, this was partially offset by total firm-wide net inflows.

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