Australian Ethical Investment Ltd · ASX:AEF
Australian Ethical Investment — H1 FY21 Earnings Presentation
14 slides from Australian Ethical Investment's earnings presentation, Feb 24, 2021
Slide 1: FY21 Half Year – Analyst pack
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Slide 2: Overview & history
Overview & history ASX 300 listed investment manager managing over $5.0bn Over 70 on behalf of members and investors employees We donate Leading ethical 10% of our investing approach annual profits* for 30+ years through our Foundation offering investment to charitable organizations and super soluti
Slide 3: Our business model
Our business model • Super has historically been our DIRECT core business however we see strong CHANNELS EMPLOYERS ADVISERS INSTITUTIONS CUSTOMERS growth opportunity in the investment space • 83% of netflows acquired via direct channel PRODUCT • Investing in growing advised channel PACKAGING SUPER A
Slide 4: Our approach to ethical investing
Our approach to ethical investing Investment discipline 2 • Construct efficient portfolios within the ethical investment universe • A range of portfolios that meet different risk/return objectives; active, passive and multi-asset 1 Ethical analysis • A long track record of alpha generation Ethical i
Slide 5: FUM summary - Managed Funds
FUM summary - Managed Funds FUND/OPTION Management Fee FUM at 30 Net flows Reclass. Performance FUM June 20 for 1H21 and for 1H21 ($bn) at 31 Dec 20 ($bn) ($bn) switches ($bn) Managed Funds – Retail Balanced Fund 1.75% 0.11 0.01 (0.05) 0.01 0.08 Australian Shares 1.99% 0.15 0.01 (0.01) 0.04 0.19 Eme
Slide 6: FUM summary - Superannuation
FUM summary - Superannuation FUND/OPTION Management Fee FUM at 30 Net flows for Performance FUM at 31 Dec June 20 ($bn) 1H21 ($bn) for 1H21 ($bn) 20 ($bn) Superannuation Defensive 0.20% 0.11 0.00 (0.01) 0.10 Conservative 0.63% 0.12 0.00 0.00 0.13 Balanced 0.64% 1.45 0.22 0.12 1.79 Growth 0.99% 0.41
Slide 7: Fees
Fees Superannuation average revenue margin Investments average revenue margin Additional information • Margins have reduced over time as we continue $3,500 1.80% $2,000 2.00% to pass on benefits of scale to investors and 1.85% 1.59% 1.60% $1,800 1.80% members through fee reductions $3,000 $1,600 1.6
Slide 8: Investment team
Team Position Tenure Experience member David Macri, Chief Investment 12 years at AEI 20+ years of investment experience CFA Officer CIO since 2012 Previously at Macquarie Securities, Credit Suisse, Mellon, Mercer Michael Head of Domestic 4.5 years at AEI 20+ years of investment experience Murray, CF
Slide 9: Ethics team
Team Position Tenure Experience member Stuart Head of Ethics 7 years at AEI • 30+ years experience in the financial, investment and legal Palmer Research sectors • Previously Head of Ethics Services at St James Ethics Centre, helping develop strong organisational leadership and culture to guide good
Slide 10: Growth metrics
Growth metrics AE growth metrics FY20 FY19 FY18 1H21 2H20 1H20 2H19 1H19 2H18 1H18 FUM – investments ($bn) 1.33 1.16 0.98 1.75 1.33 1.32 1.16 0.96 0.98 0.90 Additional metrics^ FUM – super ($bn) 2.72 2.26 1.84 3.30 2.72 2.56 2.26 1.89 1.84 1.70 • Average age of current super FUM - total ($bn) 4.05 3
Slide 11: Financial metrics
Financial metrics Financial metrics FY20 FY19 FY18 1H21 2H20 1H20 2H19 1H19 2H18 1H18 FUM based revenue ($m) 42.7 36.0 32.3 23.5 21.2 21.5 18.3 17.7 16.7 15.6 Member based revenue ($m) 3.2 3.7 3.3 2.1 1.6 1.6 1.9 1.8 1.7 1.6 Operating revenue ($m) 49.9 41.0 36.0 25.6 26.6 23.3 21.2 19.8 18.6 17.4 UP
Slide 12: Contacts
Contacts John McMurdo Melanie Hill Chief Executive Officer Head of Business Performance jmcmurdo@australianethical.com.au mhill@australianethical.com.au 0449 903 207 0428 879 348 Mark Simons Camilla Herring Chief Financial Officer Head of Communications msimons@australianethical.com.au cherring@aust
Slide 13: Disclaimer
Disclaimer The information contained in this presentation is general information only, and does not take into account your individual investment objectives, financial situation or needs. Before acting on it, you should consider seeking independent financial advice that is tailored to suit your perso
Slide 14: australianethical
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