Income Asset Management Group Limited · ASX:IAM
Income Asset Management — Investor Presentation (February 2024)
18 slides from Income Asset Management's investor presentation, Feb 21, 2024
Slide 1: 1H24 results
1H24 results 21 February 2024 Income Asset Management Group (ASX:IAM)
Slide 2: Our strategy
Our strategy To deliver market leading solutions for clients seeking income focused investments.
Slide 3: Streamlined our administration model
Streamlined our administration model With $3.5bn in AuA in a very short period, we are scaling rapidly and have invested for further growth. IAM Group Capital Markets Supported by Trustees Australia Secondary Bond and Loans GCOF Debt origination Custody Cash deposit service Loan & Fund administratio
Slide 4: How we go to market
How we go to market The most efficient interface for fixed income in Australia. - Flexible settlement, platform/custody options - Transparent pricing - Research rich product advice - Wide range of investment alternatives.
Slide 5: Key performance metrics
Key performance metrics* Revenue $6.08m $3.48bn AuA 1,743 clients vs $6.8m YOY 29% growth YOY 71% growth YOY *FY23 one-off large transaction. 440 new clients Transaction 3,522 trades in H1, a record. dollar volume 16% growth YOY $1.431bn (FY22 H1 3343) (FY22 H1 380) (FY22 H1 $1.636bn) *As at 31 Dece
Slide 6: Increasing Assets under Administration
Increasing Assets under Administration n Cash and bond/loan AuA has grown from less than $1bn (ex CWZ) in cash and zero in bonds, to $3.5bn. n Our AuA generates multiple revenue streams. Secondary bond and loan trading, primary debt capital markets and deposit markets, all benefit from more clients
Slide 7: Revenue and cost modelling
Revenue and cost modelling * Note that the FUA trendline is not a forecast n This is how we model our business. Through covid and the bond-market crash of ‘22, total revenue has returned more than 1% on bond/loan FuA. As FuA continues to grow in years to come, hypothetically, on this trajectory, we
Slide 8: Growing client numbers
Growing client numbers We continue to rapidly grow our client base including adviser groups, private banks, and stockbrokers. n We added 440 clients in H1FY24, indeed growth Clients accelerated in Q2 with 252 added in that period. 2000 n Our partnership with Netwealth has broadened our distribution
Slide 9: Scaling capital markets at a fast pace
Scaling capital markets at a fast pace n We can either generate revenue on spreads or as an ongoing fee, the client can choose. n Will soon start to charge custody for new clients, which will add a recurring element to our income and increase our return on client engagement. n New business writers i
Slide 10: Cash markets
Cash markets n 50+ ADIs on tap, regular investors into 15. n Our current administration team can cope with significantly increased demand. n Enquiry building through Netwealth channels. n Aged Care initiative reaping rewards with significant inflow and ongoing enquiry. n Increased turnover in NCDs f
Slide 11: Global Credit Opportunities Fund (GCOF) in growth phase
Global Credit Opportunities Fund (GCOF) in growth phase GCOF is past incubation stage with existing fund vehicles, infrastructure, clients and FUM n 100% owned fund with a strong track record - the strategy delivered 13%pa over 5 years. n Purchased from River Capital for $350k. n Seeded with $50m FU
Slide 12: Operational highlights
Operational highlights Improving CX Continuing Investing in with technology product Managing talent innovation expenses • Ticketing system JIRA • Recruited seven new launched for faster • Streamlined our • Launch of new ETB experienced sales client response times product is now administration execut
Slide 13: Product innovation soon to launch - ETB
Product innovation soon to launch - ETB ETBs (exchange traded bonds) give all Australian investors listed access to the dependable returns and capital preservation of quality corporate bonds n There is $1.9 trillion issued in the Australian bond Buyers of ETBs Buyers of ETFs market. It is a truism t
Slide 14: Trustees Australia Limited (TAL)
Trustees Australia Limited (TAL) n About to launch custody at 10bp across 1000+ clients with $1.3bn+ FuA this year. n Connected our risk management framework into TAL to drive operational efficiencies. n TAL supports our distribution teams with operational, AFSL, product innovation, legal and compli
Slide 15: Outlook
Outlook New joiners! New product Focus on launches advised clients - Almost doubling of and distribution revenue writers with seven new joiners - Exchange Traded channels Bonds (ETB) - New Perth office - Separately Managed - Additional expertise in - Financial Platforms Accounts (SMA) - Adviser grou
Slide 16: Questions & Answers
Questions & Answers
Slide 17: Disclaimer
Disclaimer © 2024 IAM Group | Income Asset Management Group Limited ACN 010 653 862 (ASX: IAM) and wholly owned subsidiaries, IAM Capital Markets Ltd ACN 111 273 048 AFSL 283119, IAM Cash Markets Pty Ltd ACN 164 806 357 as corporate authorised representative (no. 001295506) of AFSL 283119, Trustees
Slide 18: Contact us
Contact us P: 1300 784 132 E: sales@incomeam.com W: incomeam.com
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