The Platinum Asset Management Ltd (ASX: PTM) share price could be on the slide again on Friday following its latest funds under management update.
How did Platinum perform in October?
Platinum has continued to experience fund outflows during the month of October.
Over the period, the asset manager reported net outflows of approximately $252 million. This includes net outflows from the Platinum Trust Funds of approximately $212 million.
This ultimately led to Platinum finishing the period with total funds under management of $24,595.93 million. This is down slightly from $24,612.68 million in September.
This funds under management weakness appears to be due to a combination of the growing popularity of ETFs and the poor performance of its many funds.
The majority of Platinum's funds are underperforming their respective benchmarks over the last 12 months.
How does this compare to its rivals?
It has been the complete opposite for rival Magellan Financial Group Ltd (ASX: MFG) in 2019.
The strong performance of its funds has led to solid growth in its funds under management.
In fact, earlier this week, Magellan released its funds under management update for the month of October.
According to the release, Magellan experienced net inflows of $1,385 million during October. This was inclusive of net retail inflows of $1,125 million and net institutional inflows of $260 million.
These fund inflows took its retail funds under management to $25,396 million and its institutional funds under management to $68,148 million. This was a 4.5% and 0.5% month on month increase, respectively.
Combined, this left Magellan with total funds under management of $93,544 million. Which was an increase of 1.6% over the previous month.
In light of this, it won't be hard to guess which share is up 110% this year and which is down over 9% year to date.
