Magellan Financial Group Ltd · ASX:MFG
Magellan Financial — Shareholder Meeting (October 2019)
15 slides from Magellan Financial's shareholder meeting presentation, Oct 24, 2019
Slide 1: Magellan Financial Group Limited 2019 AGM Presentation
Magellan Financial Group Limited 2019 AGM Presentation For personal use only Brett Cairns| CEO
Slide 2: Magellan Financial Group Full Year Results
Magellan Financial Group Full Year Results $ million 30 June 2019 30 June 2018 % change Management and services fees 472.5 385.8 22% For personal use only Performance fees 83.6 39.8 110% Other revenue 21.1 27.1 (22%) Adjusted revenue 577.3 452.6 28% Adjusted expenses (104.0) (101.0) 3% Adjusted net
Slide 3: Dividends
Dividends For personal use only • Dividend policy1 : – Interim and Final dividends based on 90%-95% of net profit after tax of Funds Management segment excluding crystallised performance fees – Annual Performance Fee Dividend of 90%-95% of net crystallised performance fees after tax • Total dividend
Slide 4: Expenses
Expenses For personal use only • View costs associated with strategic initiatives as outside day-to-day operating expenses – Excluded from Funds Management business – Excluded from dividend payout • Employee expenses account for ~60% of operating expenses – Expect modest headcount increases from org
Slide 5: Balance Sheet
Balance Sheet As at 30 June 2019 For personal use only • Cash and liquid assets of $539.3 million1 • No debt - undrawn debt facility sized at $50 million • Net tangible assets of $609.5 million • Institutional Share Placement raised $275 million in August 2019 $’000 30 June 2019 30 June 2018 30 June
Slide 6: Institutional Share Placement
Institutional Share Placement For personal use only • In August 2019, raised $275 million via an institutional share placement of 4.98 million shares • Placement represented ~2.8% of shares outstanding prior • Funds raised will be used to: – Fund costs associated with the Magellan High Conviction Tr
Slide 7: Funds Under Management Summary
Funds Under Management Summary 30 June 2017 30 June 2018 30 June 2019 30 Sep 20191 For personal use only Closing FUM ($ billion) % % % % Retail 15.2 30% 19.2 28% 23.2 27% 24.3 26% Institutional 35.4 70% 50.3 72% 63.5 73% 67.8 74% Total FUM 50.6 100% 69.5 100% 86.7 100% 92.1 100% Average FUM ($ billi
Slide 8: Investment Performance
Investment Performance For the periods to 30 September 2019 For personal use only Since 1 Year 3 Years 5 Years Inception (%) (% p.a.) (% p.a.) (% p.a.)1 Magellan Global Fund 15.7 18.2 15.7 12.4 MSCI World NTR Index ($A) 9.2 14.9 12.9 6.7 Magellan Infrastructure Fund 20.9 11.9 13.0 9.2 Global Listed
Slide 9: Funds Under Management
Funds Under Management As at 30 September 2019 ($ billion) For personal use only Strategy 30 September 2018 Net Inflows Investment Performance 30 September 20191 Global Equities $56.9 $1.9 $8.8 $67.6 Global Listed Infrastructure $11.3 $2.5 $2.7 $16.5 Australian Equities $6.4 $0.8 $0.8 $8.0 $74.6 $5.
Slide 10: Magellan Global Trust IPO
Magellan High Conviction Trust For personal use only • Raised ~$862 million – Priority Offer: $632 million – General Public/Wholesale Offers: $230 million • Approximately 17,000 registered unitholders • One-off costs of ~$55 million, including Loyalty and IPO Foundation Units • No fees paid to broke
Slide 11: Investor Partnership and Simplification
Investor Partnership and Simplification Listed funds For personal use only Closed-ended Open-ended FUM $3.2 billion $2.1 billion Funds and MGE: ~22,000 MGG: ~35,000 number of MHG: ~1,250 MHH: ~17,000 unitholders MICH: ~9,500 Partnership benefits, with Magellan Simplification, CHESS paying for the di
Slide 12: Listed Unitholder Growth
Listed Unitholder Growth 90,000 For personal use only MHH 80,000 70,000 60,000 MGG 50,000 40,000 30,000 20,000 Active ETFs 10,000 0 Mar-15 Aug-15 Jan-16 Jun-16 Nov-16 Apr-17 Sep-17 Feb-18 Jul-18 Dec-18 May-19 Oct-19 Number of registered unitholders across Magellan Global Equities Fund (ASX: MGE), Ma
Slide 13: Growth Areas
Growth Areas For personal use only • Sustainable: approaching 3 year track records, meaningfully above benchmark, ~US$20bn theoretical capacity1 • Infrastructure: solid interest, great long-term track record, unique definition, remaining capacity of ~US$6bn • Self-directed retail: continued emphasis
Slide 14: Important Information
Important Information This presentation has been prepared by Magellan Financial Group Limited ACN 108 437 592 (“Magellan”). For personal use only This presentation contains summary information about Magellan and is current as at 24 October 2019. While the information in this presentation has been pr
Slide 15: For personal use only
For personal use only www.magellangroup.com.au Phone: +61 2 9235 4888
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