On Tuesday, the Magellan Financial Group Ltd (ASX: MFG) share price has risen by more than 3% to $64.39 per share at the time of writing. The share price gains came off the back of Magellan's most recent funds under management update.
What was in the announcement?
The announcement detailed Magellan Financial Group's most recent funds under management. In June, Magellan saw net fund inflows of $249 million. This included net retail inflows of $173 million along with net institutional inflows of $76 million.
The group reported that its average funds under management were $95.5 billion for the year ended June 30 2020. This was a 26% increase on the year ended 30 June 2019, which saw average funds under management of $75.8 billion.
The announcement also revealed that in July, Magellan will pay distributions of approximately $650 million. This will be reflected in the next month's funds under management announcement.
The company estimates that it will receive performance fees of approximately $81 million for the year ended 30 June 2020.
How has Magellan performed recently?
Magellan Financial Group is a fund manager that invests in global equities and global infrastructure. It has offices in Australia, New Zealand and the US and manages more than $97 billion. Magellan has 34 experienced investment professionals on its staff.
Magellan invests in what it names "the world's best companies". It has over 10 listed and unlisted equities and infrastructure funds.
In June, Magellan launched its fourth ETF product, the Airlie Australian Share Fund, which is intended to bring together the features of an unlisted fund and active ETF into a single unit in a single fund.
Magellan now has over $2.5 billion in ETF funds under management and 35,000 ETF unit holders.
For the half year to 31 December 2019, Magellan had a net profit after tax of $216.8 million. This was a 12.8% increase on the same period in the prior year. Performance fees for the half year to December 2019 were $41.7 million.
The Magellan share price is up 110% from its 52 week low of $30.10. It has returned nearly 9% since the beginning of the year and is up 17.87% since this time in 2019.
