The Magellan Financial Group Ltd (ASX: MFG) share price is being pummelled by another round of bad news on Monday.
This morning, the company announced its funds under management (FUM) continued to fall in May. Meanwhile, the market's also likely reacting to news Magellan has been dumped from the S&P/ASX 100 Index (ASX: XTO).
At the time of writing, the Magellan share price is $13.51. That's 9.51% lower than Friday's close and 36% lower than it was at the start of 2022.
Let's take a closer look at what's hammering the Magellan share price on Monday.
Magellan share price tumbles alongside FUM
The Magellan share price is taking yet another hit after the company announced its FUM tumbled 5.2% in May.
As of the end of last month, the funds management business was overseeing $65 billion. That's $3.8 billion less than it was charged with at the end of April.
The company's retail FUM fell 4.8% to $23.6 billion in May while its institutional FUM fell 5.4% to $41.4 billion.
The global equities segment was the biggest weight on the company's FUM – slipping $2.8 billion to $35.2 billion.
Meanwhile, Australian equities slumped around $800 million to $9.1 billion and infrastructure equities stayed flat at $20.7 billion.
Additionally, Magellan will soon be dumped from the ASX 100 in news that dropped after Friday's market close.
The company's removal comes after The Lottery Corporation Ltd (ASX: TLC) was spun out from Tabcorp Holdings Limited (ASX: TAH).
That likely means funds tracking the index will be forced to banish Magellan from their holdings from 20 June.
Its removal from one of the ASX's most prestigious indexes follows a period of poor performance and drama at the company.
Magellan's FUM have also been sliding for some time now.
The company was rocked by news St James's Place – which previously accounted for around 12% of the company's revenue – had abandoned its contract with Magellan in December.
Finally, Magellan co-founder and former chair and chief investment officer Hamish Douglass stepped down from the board following a period of scrutiny in March.
