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T. Rowe Price (TROW) Gains 17% on October AUM Rise to $1.28T

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T. Rowe Price Group, Inc.’s (TROW - Free Report) shares have gained 17% since the company reported preliminary assets under management (AUM) of $1.28 trillion as of Oct 31, 2022. This reflects a 4.1% increase from the prior month’s $1.23 trillion.

Client transfers from mutual funds to other portfolios, including trusts and separate accounts, were $0.7 billion for October 2022 and $11 billion for the year-to-date period ended Oct 31, 2022.

T. Rowe Price’s total U.S. mutual fund balance was $638 billion, up 3.9% from the September 2022 level. Of the total U.S. mutual funds balance, almost 80% comprised investments in equity and blended assets, while the remaining came from fixed income, including the money market portfolio.

T. Rowe Price’s total sub-advised and separate accounts, and other investment products were worth $642 billion, marking 4.2% growth from the prior month. Of this, equity and blended assets, accounting for $464 billion, were up 6.4% sequentially. While fixed-income products, including the money market, constituted $135 billion (down 1.5% sequentially), alternative products aggregated $43 billion (flat sequentially) of total other investment portfolios.

Additionally, TROW registered $327 billion in target date retirement portfolios, which rose 5.1% from the previous month.

TROW remains focused on its long-term strategies for delivering outstanding investment performance. The company also assumes that focusing on fundamentals will accelerate its effort to meet clients’ expectations. Given the upbeat market performance, the overall AUM balance for October improved from the prior month.

Over the past six months, shares of T. Rowe Price have gained 3.7% compared with the industry’s increase of 19.9%.

 

Zacks Investment Research
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The company currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Competitive Landscape

Franklin Resources, Inc. (BEN - Free Report) reported a preliminary AUM balance of $1,318.4 billion for October 2022. This reflects a 1.6% increase from $1,297.4 billion recorded as of Jun 30, 2022.

The rise in BEN’s AUM balance was primarily driven by an upbeat market performance, partially offset by long-term net outflows, including the previously-disclosed $2.1 billion fixed-income institutional redemption that had minimal impacts on revenues.

AllianceBernstein Holding L.P.’s (AB - Free Report) AUM of $627 billion for October 2022 represented a rise of 2.3% from $613 billion recorded at the end of the prior month. AB’s AUM increase was driven by market appreciation, partially offset by net outflows in each channel.

AllianceBernstein’s global reach and solid asset balances are likely to continue to boost top-line growth.


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