MENU

The Hub24 Ltd share price is now up 30% in 2017

Shares in superannuation focused investment platform business Hub24 Ltd (ASX: HUB) climbed 6.5% to a record high of $6.80 today after the group revealed a strong quarter of net fund inflows.

For the quarter ending June 30 2017 net fund inflows were $841 million, with retail funds under administration (FUA) now $5.5 billion, which represents an increase of $2.2 billion or 66% for the full year.

For financial year 2017 net fund inflows are expected to be a record $1,953 million as the investment platform business continues to increase its market share via a wider distribution reach mainly amongst financial advisers.

The company’s software helps provide portfolio management, transaction and administration services for advisers or investors and for the half-year ending December 31 2016 it posted a maiden net profit of $1.3 million.

The company is now valued around $350 million, which means that plenty of profit growth is baked into the valuation. Others on big valuations in this space exploiting the ballooning superannuation cash balances of baby boomers include Class Ltd (ASX: CL1) and Praemium Ltd (ASX: PPS).

All three businesses are worth a place on the watch lists of investors, but none of them are mature enough to deliver the wealth-compounding effects of big dividends just yet…

Are you planning on a blue-chip retirement?

If term-deposit rates stay low your lifestyle expectancy could stay low with them.

But you must act now. This updated report is available for a limited time only, and your copy is 100% FREE. So don't miss out!

At The Motley Fool we know share markets can be volatile with President Trump and the great unknown of China front and centre. So we've handpicked 5 of our favorite term-deposit-crushing dividend shares to make your savings work for you.

Simply click here to receive your free copy of "Our top 5 ASX higher income shares for financial year 2018" right now.

Motley Fool contributor Motley Fool Staff has no position in any stocks mentioned. The Motley Fool Australia owns shares of Class Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.