Fiducian Group Ltd · ASX:FID
Fiducian — Wilsons Rapid Insights Investor Presentation (May 2018)
24 slides from Fiducian's conference presentation, May 31, 2018
Slide 1: Fiducian Group Investor Presentation
For personal use only Fiducian Group (ASX:FID) WILSONS RAPID INSIGHTS INVESTOR PRESENTATION MELBOURNE 31 May 2018 STIRLING RANGE NATIONAL PARK 1 WA
Slide 2: Business Overview
Business Overview Fiducian Group Investor Presentation • Business Overview For personal use only • Financials • Growth Strategy and Business Outlook • Contacts 2
Slide 3: Profit Generating Sustainable Business Model
Business Overview Profit Generating Sustainable Business Model For personal use only Management • Process driven, client focused investment products • 15 Managed Funds: 4 Diversified Funds, 4 Sector Funds, 7 Specialist Funds Funds • $2.29 Billion in Funds under Management (FUM) • Listed comparables
Slide 4: Funds Management
Business Overview Funds Management • 15 Funds using Fiducian’s Manage-the-Manager (MTM) system of Investment For personal use only • Select expert Managers – with proven performance, differing investment processes / styles • Combine experts with different weightings – up to 40 Fund Managers • Dynami
Slide 5: WRAP Platforms (FSS/FIS) – FinTech (FORCe & FASTrack)
Business Overview WRAP Platforms (FSS/FIS) – FinTech (FORCe & FASTrack) • Public offer “Superannuation Fund” For personal use only • Investor Directed Portfolio Service (IDPS) • 15 – Multimanager Funds using the Fiducian Manage-the-Manager system • 57 – Single Manager Fund Choices • 13 – Managed Dis
Slide 6: Financial Planning – Focus on Quality and Expertise
Business Overview Financial Planning – Focus on Quality and Expertise • We are selective in recruiting Financial For personal use only Planners • National footprint with 38 practices, 61 representatives 31 Franchise Offices 7 Salaried Offices Total 61 Authorised Representative 6
Slide 7: Integrated Business Model
Business Overview Integrated Business Model Our clients experience the Fiducian difference: For personal use only Funds Management Administration / Financial Platforms Planning $2.21 bil $1.80 bil $2.31 bil Half Year Gross Revenue $22.3 mil Fiducian Integrated Business Model FUMAA $6.47 bil Note: FU
Slide 8: FY 2017-18 H1 Results: Financials
FY 2017-18 H1 Results For personal use only FINANCIALS GLASS HOUSE MOUNTAINS NATIONAL PARK 8 QLD
Slide 9: Financial Highlights
Financials Financial Highlights For personal use only Financial Highlights Half Year Ending 31 December ($ in thousands) 2017 2016 % Change Operating Revenue 22,349 19,903 12% Fees and Charges paid (6,020) (5,041) Net Revenue 16,329 14,862 10% Gross Margin 73% 75% Underlying EBITDA 7,019 5,610 25% D
Slide 10: Segment Update
Financials Segment Update For personal use only Funds Revenue for the half-year is $6.1 mil Management Top quartile performance has driven significant inflows Benefitting from scaled fees from underlying managers Revenue for the half-year is $8.3 mil Administration Operational efficiencies through s
Slide 11: Cash Flow
Financials Cash Flow • Cash Flow in line with expectations for Jul – Mar 18: For personal use only • $37.2 mil Receipts from Customers • $7.1 mil Net Operating Cash Flow after expenses and tax • $10.9 mil Cash at end of the period • Reinvestments into business: • $0.7 mil payments for Client acquisi
Slide 12: Net Fund In-Flows in Platform
Financials Net Fund In-Flows in Platform For personal use only Funds Inflows and Outflows (in $ mil) Years Inflows Outflows Net Flows Dec 14 78 -49 29 Jun 15 88 -48 40 Dec 15 111 -37 74 Jun 16 135 -42 93 Dec 16 115 -39 77 Jun 17 290 -119 171 Dec 17 157 -44 114 Net In- Flows of $114 mil during FY17
Slide 13: FUMAA Growth
Financials FUMAA Growth For personal use only FUMMA Closing Balance (in $ bil) Years FUM FUAdm FUA Total Dec 14 1.28 1.11 1.46 3.84 Jun 15 1.37 1.17 1.54 4.08 Dec 15 1.47 1.25 1.66 4.39 Jun 16 1.59 1.32 1.82 4.74 Dec 16 1.76 1.45 1.92 5.13 Jun 17 1.96 1.58 2.14 5.68 Dec 17 2.21 1.79 2.26 6.27 Cons
Slide 14: FID outperformance against All Ords Accum
Financials FID outperformance against All Ords Accum • Since Jun 12, For personal use only FID vs All Ords Growth 670% (incl Dividends) FID outperformance 383% including dividend 570% • Dividend pay-out policy 60-70% of Net Profit 470% After Tax FID closing on 28/05/18: • Double digit EPS growth 370
Slide 15: Strategy & Outlook
FY 2017-18 H1 Results For personal use only STRATEGY & OUTLOOK MOUNT KOSCIUSZKO 15 NSW
Slide 16: Growth Strategy
Growth Strategy Growth Strategy Strategy & Outlook For personal use only Funds Leverage of successful Manage-The-Manager Management model and expand in new markets where profitable Distribute SMA capabilities, offer Badged solutions Administration to IFA market and Build SMSF Administration Financia
Slide 17: Business Outlook – Revenue Streams
Strategy & Outlook Business Outlook – 3 Revenue Streams Revenue Growth is a function of volume of FUMAA For personal use only Example: Financial Funds Platform Planning Under FUMAA 3 Admin Advice Management Growth Revenue increase increases Increases $300 mil Streams $100 mil $100 mil $100 mil Plus,
Slide 18: Projecting the Potential: Conceptual Representation
Strategy & Outlook Projecting the Potential: Conceptual Representation The following is a concept extrapolation* of how increasing scale lifts EBITDA at an For personal use only accelerating rate above a relatively fixed cost base: Funds under Management, Administration and Advice (FUMAA) & EBITDA T
Slide 19: Regulatory overview – Vertical Integration
Strategy & Outlook Regulatory overview – Vertical Integration • Significant part of the industry is vertically integrated For personal use only • Some Industry funds through in-sourced funds management and in-house planners • Some Planning groups through Separately Managed Accounts (SMAs) and white-
Slide 20: Regulatory overview – Grand-fathered Commissions
Strategy & Outlook Regulatory overview – Grand-fathered Commissions • Grandfathered Commission (“Trail Commission”, “Ongoing Commission”) is embedded within the For personal use only FoFA legislation. This commission is paid out of the product / service providers’ margins to the advisers and is not
Slide 21: Industry consolidation and Opportunities
Strategy & Outlook Industry consolidation and Opportunities • A number of established participants are exiting or have announced their intentions to exit For personal use only the industry • New educational standards may expedite adviser exits planning retire in short to medium term • Regulation and
Slide 22: Outlook
Strategy & Outlook Outlook • Grow Funds Under Advice organically and through strategic acquisitions of financial For personal use only planning businesses • Expand platform administration services and SMA capabilities to IFAs and capture market share where value accretive • Build SMSF Admin and Acco
Slide 23: Key Dates and Contacts
Key Dates and Contacts Key Dates For personal use only • Full Year results announcement: Thursday, 16 August 2018 • Annual General Meeting: Thursday, 25 October 2018 Contacts • Investor Relations: Rahul Guha, Chief Financial Officer +61 2 8298 4600 rahulguha@fiducian.com.au • Media Relations: Julie
Slide 24: Important Notice and Disclosure
Important Notice and Disclosure The material and information contained in this presentation is general background information about Fiducian Group Limited’s (Fiducian) activities. This information is For personal use only an incomplete summary and should be read in conjunction with previous ASX anno
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