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T. Rowe Price's (TROW) October AUM Declines on Weak Markets
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T. Rowe Price Group, Inc. (TROW - Free Report) announced its preliminary assets under management (AUM) of $1.31 trillion for October 2023. The figure reflected a 2.5% decline from the previous month, affected by unfavorable market conditions.
TROW experienced net outflows of $6.3 billion in October 2023.
At the end of the reported month, equity products and multi-asset products aggregated $668 billion and $429 billion, down 3.2% and 2.5%, respectively, on a sequential basis. T. Rowe Price registered $364 billion in target date retirement portfolios in October, which declined 2.2% from the prior month. Fixed-income products, including the money market, constituted $168 billion, down 1% sequentially.
Alternative products of $47 billion were flat on a sequential basis.
A diversified business model, focus on enhancing investment capabilities, broadening distribution reach and improving client partnerships are expected to aid TROW’s long-term growth.
However, increased dependence on investment advisory fees is concerning, as market fluctuations and a sudden slowdown in overall business activities are likely to hurt its revenues. Additionally, rising expenses could impede bottom-line expansion.
Over the past six months, shares of T. Rowe Price have declined 12.9% against the industry’s growth of 8.9%.
Franklin Resources, Inc. (BEN - Free Report) reported a preliminary AUM balance of $1.33 trillion for October 2023. This reflected a 2.9% decrease from $1.37 trillion as of Sep 30. The downtick was primarily caused by the impacts of negative markets and long-term net outflows.
Total month-end fixed-income assets were $468.9 billion, down 2.9% from the prior month’s level. Equity assets of $410.9 billion fell 4.5% from September 2023. BEN recorded $140.8 billion in multi-asset class, down 2.9% sequentially. Alternative assets aggregated $253.8 billion, down marginally from the prior month.
Victory Capital Holdings (VCTR - Free Report) reported AUM of $148.89 billion for October 2023. This reflected a 3% decline from $153.51 billion as of Sep 30, 2023.
By asset classes, at the end of October, VCTR’s U.S. Mid Cap Equity AUM fell 4.5% from the September level to $26.97 billion. The U.S. Small Cap Equity AUM of $13.64 billion dipped 6.9%. The U.S. Large Cap Equity AUM decreased 2.7% to $11.28 billion. The Global/Non-U.S. Equity AUM was down 2.2% to $14.48 billion.
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T. Rowe Price's (TROW) October AUM Declines on Weak Markets
T. Rowe Price Group, Inc. (TROW - Free Report) announced its preliminary assets under management (AUM) of $1.31 trillion for October 2023. The figure reflected a 2.5% decline from the previous month, affected by unfavorable market conditions.
TROW experienced net outflows of $6.3 billion in October 2023.
At the end of the reported month, equity products and multi-asset products aggregated $668 billion and $429 billion, down 3.2% and 2.5%, respectively, on a sequential basis. T. Rowe Price registered $364 billion in target date retirement portfolios in October, which declined 2.2% from the prior month. Fixed-income products, including the money market, constituted $168 billion, down 1% sequentially.
Alternative products of $47 billion were flat on a sequential basis.
A diversified business model, focus on enhancing investment capabilities, broadening distribution reach and improving client partnerships are expected to aid TROW’s long-term growth.
However, increased dependence on investment advisory fees is concerning, as market fluctuations and a sudden slowdown in overall business activities are likely to hurt its revenues. Additionally, rising expenses could impede bottom-line expansion.
Over the past six months, shares of T. Rowe Price have declined 12.9% against the industry’s growth of 8.9%.
Image Source: Zacks Investment Research
T. Rowe Price currently 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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Franklin Resources, Inc. (BEN - Free Report) reported a preliminary AUM balance of $1.33 trillion for October 2023. This reflected a 2.9% decrease from $1.37 trillion as of Sep 30. The downtick was primarily caused by the impacts of negative markets and long-term net outflows.
Total month-end fixed-income assets were $468.9 billion, down 2.9% from the prior month’s level. Equity assets of $410.9 billion fell 4.5% from September 2023. BEN recorded $140.8 billion in multi-asset class, down 2.9% sequentially. Alternative assets aggregated $253.8 billion, down marginally from the prior month.
Victory Capital Holdings (VCTR - Free Report) reported AUM of $148.89 billion for October 2023. This reflected a 3% decline from $153.51 billion as of Sep 30, 2023.
By asset classes, at the end of October, VCTR’s U.S. Mid Cap Equity AUM fell 4.5% from the September level to $26.97 billion. The U.S. Small Cap Equity AUM of $13.64 billion dipped 6.9%. The U.S. Large Cap Equity AUM decreased 2.7% to $11.28 billion. The Global/Non-U.S. Equity AUM was down 2.2% to $14.48 billion.