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Franklin's (BEN) May AUM Declines 1.2% on Weaker Markets
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Franklin Resources, Inc. (BEN - Free Report) reported a preliminary asset under management (AUM) balance of $1,404.2 billion for May 2023. This reflected a 1.2% decrease from $1,420.7 billion recorded as of Apr 30.
The decline in the AUM balance was primarily due to the impact of weaker markets and slight long-term net outflows.
Month-end total fixed-income assets were $502.8 billion, down 1.5% from the prior month’s level. Equity assets of $434.5 billion decreased 1.6% from April 2023. BEN recorded $144 billion in multi-asset class, down 1.9% sequentially. Alternative assets aggregated $256.9 billion, down marginally from the prior month.
Nonetheless, cash-management funds totaled $66 billion, which increased 3% from the prior month’s level.
Despite a diversified character, the company’s AUM is exposed to market fluctuations, foreign exchange translations, regulatory changes and a sudden slowdown in overall business activities, which are likely to act as near-term headwinds. Hence, any decline in investment management fees due to market fluctuations remains a key concern for BEN.
Nonetheless, Franklin seems well-poised for growth on the back of a robust foothold in the global market and revenue-diversification efforts. Also, it is growing through strategic acquisitions. These are supporting the company in improving and expanding its alternative investments and multi-asset solution platforms.
Shares of BEN have fallen 3.4% over the past three months against the industry's gain of 7.2%.
Cohen & Steers (CNS - Free Report) reported a preliminary AUM of $77.9 billion as of May 31, 2023, which reflects a decrease of 3.8% from the prior-month level. Although CNS reported a market appreciation of $2.4 billion, net outflows of $461 million and distributions of $181 million, led to the decline of AUM.
WisdomTree, Inc. (WT - Free Report) reported a total AUM of $89.6 billion as of May 31, 2023, which reflected a decrease of 2% from the prior-month level. The decline was due to a negative market move of $2.2 billion, partially offset by total net inflows of $325 million.
WT, in May, recorded inflows from U.S. equity, international developed market equity, emerging market equity, fixed income, alternatives and leveraged and inverse strategies of $158 million, $558 million, $115 million, $315 million, $4 million and $44 million, respectively. These inflows were partially offset by outflows from commodity and currency and cryptocurrency of $860 million and $10 million, respectively.
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Franklin's (BEN) May AUM Declines 1.2% on Weaker Markets
Franklin Resources, Inc. (BEN - Free Report) reported a preliminary asset under management (AUM) balance of $1,404.2 billion for May 2023. This reflected a 1.2% decrease from $1,420.7 billion recorded as of Apr 30.
The decline in the AUM balance was primarily due to the impact of weaker markets and slight long-term net outflows.
Month-end total fixed-income assets were $502.8 billion, down 1.5% from the prior month’s level. Equity assets of $434.5 billion decreased 1.6% from April 2023. BEN recorded $144 billion in multi-asset class, down 1.9% sequentially. Alternative assets aggregated $256.9 billion, down marginally from the prior month.
Nonetheless, cash-management funds totaled $66 billion, which increased 3% from the prior month’s level.
Despite a diversified character, the company’s AUM is exposed to market fluctuations, foreign exchange translations, regulatory changes and a sudden slowdown in overall business activities, which are likely to act as near-term headwinds. Hence, any decline in investment management fees due to market fluctuations remains a key concern for BEN.
Nonetheless, Franklin seems well-poised for growth on the back of a robust foothold in the global market and revenue-diversification efforts. Also, it is growing through strategic acquisitions. These are supporting the company in improving and expanding its alternative investments and multi-asset solution platforms.
Shares of BEN have fallen 3.4% over the past three months against the industry's gain of 7.2%.
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Currently, Franklin carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
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Cohen & Steers (CNS - Free Report) reported a preliminary AUM of $77.9 billion as of May 31, 2023, which reflects a decrease of 3.8% from the prior-month level. Although CNS reported a market appreciation of $2.4 billion, net outflows of $461 million and distributions of $181 million, led to the decline of AUM.
WisdomTree, Inc. (WT - Free Report) reported a total AUM of $89.6 billion as of May 31, 2023, which reflected a decrease of 2% from the prior-month level. The decline was due to a negative market move of $2.2 billion, partially offset by total net inflows of $325 million.
WT, in May, recorded inflows from U.S. equity, international developed market equity, emerging market equity, fixed income, alternatives and leveraged and inverse strategies of $158 million, $558 million, $115 million, $315 million, $4 million and $44 million, respectively. These inflows were partially offset by outflows from commodity and currency and cryptocurrency of $860 million and $10 million, respectively.