The Macquarie Group Ltd (ASX: MQG) share price is edging lower on Wednesday.
In morning trade, the investment bank's shares are down 2% to $173.20.
Why is the Macquarie share price falling?
Investors have been selling the company's shares this morning on Wednesday after it released a trading update ahead of its appearance at a couple of investor events this week.
Not much has changed since its last update in July, with trading conditions remaining broadly in line with expectations.
For Macquarie Asset Management (MAM) business, the company continues to expect first-half base fees to be broadly in line compared to the prior corresponding period.
It also continues to expect MAM's net other operating income to be substantially down mainly due to lower investment-related income from green energy investments. However, management has now added that it expects asset realisations to be predominately in the second half.
In respect to the MacCap business, all short-term outlook remains the same. Transaction activity is expected to be up on a challenging FY 2023. Whereas investment-related income is expected to be broadly in line with FY 2023, with increased revenue from growth in the private credit portfolio offset by lower revenue due to the timing of asset realisations.
It is the same for the Banking and Financial Services (BFS) business and the Commodities and Global Markets (CGM) business, with management holding firm with its short-term outlook for both.
Should you invest?
Analysts at Morgans continue to see value in the Macquarie share price.
A recent note reveals that its analysts have an add rating and a $193.60 price target on its shares. Its analysts said:
We continue to like MQG's exposure to long-term structural growth areas such as infrastructure and renewables. The company also stands to benefit from recent market volatility through its trading businesses, while it continues to gain market share in Australian mortgages.
