The Magellan Financial Group Ltd (ASX: MFG) share price is zooming higher on Thursday.
In morning trade the leading fund manager's shares are up over 8% to $61.10.
Why is the Magellan share price zooming higher?
There have been a couple of catalysts for Magellan's positive share price performance today.
The first is of course the rebound on the ASX 200 this morning following an exceptionally positive night of trade on Wall Street. At the time of writing the ASX 200 index has bounced back from yesterday's selloff and is up a sizeable 1.8% to 6,439.1 points.
Over in the United States, investors were flooding into the market, leading to the Dow Jones closing a massive 4.5% higher, the S&P 500 rising 4.2%, and the Nasdaq storming 3.9% higher.
According to CNBC, this was driven largely by healthcare shares in response to major victories from former Vice President Joe Biden during Super Tuesday voting.
Funds under management update.
Also giving Magellan's shares a lift on Thursday has been the release of its funds under management (FUM) update for the month of February.
At the end of February Magellan's total FUM stood at $100,650 million, which was down 3.5% since the end of January. This comprised of retail FUM of $27,345 million and institutional FUM of $73,305 million.
This decline was driven by unfavourable market movements during the month, which were partially offset by the continued inflow of funds.
According to the release, Magellan experienced net inflows of $453 million in February. This included net retail inflows of $60 million and net institutional inflows of $393 million.
This news appears to have gone down well with investors, who may have been expecting to see fund outflows from Magellan in February given the market selloff over the last few weeks following the coronavirus outbreak globally.
