Pacific Current Group Ltd · ASX:PAC
Pacific Current — Treasury Group — ASX Investor Conference May 2014
30 slides from Pacific Current's conference presentation, May 2014
Slide 1: Treasury Group Limited ASX Investor Conference
For personal use only Treasury Group Limited ASX Investor Conference May 2014 Andrew McGill Managing Director and CEO
Slide 2: Disclaimer - Important Notice
Disclaimer - Important Notice No recommendation, offer, invitation or advice For personal use only The presentation is not a financial product or investment advice or recommendation, offer or invitation by any person or to any person to sell or purchase securities in Treasury Group Ltd in any jurisd
Slide 3: Table of Contents
Table of Contents For personal use only Section: I. Overview of Treasury Group II. Financial Performance III. Strategy and Outlook Appendices: A. Overview of Australian Asset Management Market B. Biographies C. Boutique Partners 3
Slide 4: I. Overview of Treasury Group
For personal use only I. Overview of Treasury Group
Slide 5: Overview of Treasury Group
Overview of Treasury Group Founded in 2001, Treasury Group Ltd (the “Company” or “Treasury Group”) is an Australian-based specialist investment and financial services firm that invests in and provides a range of services to boutique funds management companies For personal use only – $19.2 billion
Slide 6: Overview of Treasury Group
Overview of Treasury Group Treasury Group was established in 2001 when the Company acquired Board and Management an interest in Investors Mutual, an Australian-based equities fund For personal use only manager Andrew McGill Michael Fitzpatrick Managing Director & Chief Treasury Group believes th
Slide 7: Corporate History
Corporate History Acquisition History For personal use only AR Capital Freehold Cannae merged restructured Investment with Investors Management Mutual Limited merged with Global Value Evergreen Capital Investors restructured; Aubrey Capital Management took over management of the GVI Funds 2001 2003
Slide 8: Treasury Group Boutiques
Treasury Group Boutiques Treasury Group Boutiques For personal use only Global Equities Alternatives RARE Infrastructure Octis Asset Aubrey Capital Orion is a distribution specializes in Roc is an Australian and Management is an Asian Management is a global business which has an investing in listed
Slide 9: Distribution & Marketing
Distribution & Marketing With five dedicated distribution professionals based in Sydney, Client Breakdown (As of Mar 30 2014) Melbourne and London, Treasury Group provides institutional and For personal use only retail distribution services for its boutique partners in Australia and 1% 2% internat
Slide 10: II. Financial Performance
For personal use only II. Financial Performance
Slide 11: Profit & Loss
Profit & Loss Whilst Treasury Group does not own 100% of its boutique partners, an aggregation of boutique P&L’s is illustrative of Aggregate P&L of Boutiques For personal use only underlying business performance FY Ended June 30, YTD Dec 31, 2012 2013 2013 Strong 1H14 performance across boutiqu
Slide 12: Balance Sheet
Balance Sheet For personal use only Conservative capital structure at Treasury Group – no Treasury Group Ltd Balance Sheet gearing FY Ended June 30 YTD Dec 31 Investments in boutiques carried at historical cost plus 2012 2013 2013 Treasury Group’s share of boutique NTA – does not reflect Cash an
Slide 13: Investment Performance and FUM
Investment Performance and FUM For personal use only Treasury Group’s boutiques continue to deliver strong investment performance for their clients. RARE Infrastructure, Investors Mutual and Celeste were Historical FUM by Boutique ($B) (as of Mar 31, 2014) nominated for multiple industry awards in
Slide 14: Shareholder Returns
Shareholder Returns Total Shareholder Return For personal use only Treasury Group has outperformed its peers and 250 the market during FY13 and FY14YTD Treasury Group Ltd +103.36% 200 S&P/ASX 300 TR +80.22% Treasury Group’s business model offers Peer Group +88.62% investors ‘leveraged’ exposure
Slide 15: III. Strategy and Outlook
For personal use only II. Strategy and Outlook
Slide 16: Business strategy driving shareholder outcomes
Business strategy driving shareholder outcomes For personal use only Business Strategy TRG Shareholder Investment Proposition Expand and Diversify Portfolio Highly scalable and highly profitable – Significant investment in review of new – Semi-fixed cost base means FUM growth is multiplied oppor
Slide 17: Outlook
Outlook For personal use only Continued FUM growth driven by favorable market conditions, increased appetite from retail investors and strong investment performance from key boutiques Favorable shift in mix of FUM towards retail investors boosts overall margin and profits TRG business model le
Slide 18: Appendix A. Overview of Australian Market
For personal use only Appendix A. Overview of Australian Market
Slide 19: Australian Asset Management Industry Overview
Australian Asset Management Industry Overview Overview Mutual Fund Assets by Country – 2012 ($B) Australia is the fourth largest and one of the fastest growing funds $14,000 For personal use only 12,000 management sectors in the world, with growth underpinned by 10,000 Australia’s government manda
Slide 20: Australian Asset Management Industry Overview
Australian Asset Management Industry Overview Superannuation Superannuation is Australia’s government mandated retirement scheme, requiring employers to a pay a portion of an employee’s For personal use only salary into a superannuation fund Australia’s current “Superannuation Guarantee” system
Slide 21: Australian Asset Management Industry Overview
Australian Asset Management Industry Overview Regulatory Environment For personal use only The primary regulation governing the managed fund industry in Australia is Chapters 5C and 7 of the Corporations Act – Under the Corporations Act, any business operating a financial services business in Aust
Slide 22: Appendix B. Biographies
For personal use only Appendix B. Biographies
Slide 23: Biographies
Biographies Andrew McGill Managing Director & Chief Executive Officer For personal use only Background: Mr. McGill has more than 23 years financial markets experience, including investment and management experience within the alternative asset sector of the funds management industry. Mr. McGill join
Slide 24: Biographies
Biographies Michael Fitzpatrick, Chairman For personal use only Background: Mr. Fitzpatrick joined the board on 5 October 2004. Mr. Fitzpatrick was the founder and Managing Director of Hastings Funds Management Limited. Prior to establishing Hastings in 1994, Mr. Fitzpatrick was a Director of Credit
Slide 25: Appendix C. Boutique Partners
For personal use only Appendix C. Boutique Partners
Slide 26: Boutique Partners
Boutique Partners For personal use only Aubrey Capital Management Celeste Funds Management Aubrey Capital Management (“Aubrey”) is a global equities Celeste Funds Management (“Celeste”) is an Australian equities manager based in Edinburgh, Scotland with a focus on global manager with a specialis
Slide 27: Boutique Partners
Boutique Partners For personal use only Freehold Investment Management Investors Mutual Limited Freehold Investment Management (“Freehold”) is a Melbourne- Investors Mutual Limited (“Investors Mutual”) is a Sydney-based based specialist investment management firm, founded in 2009, equities fund
Slide 28: Boutique Partners
Boutique Partners For personal use only Octis Asset Management Orion Asset Management Octis Asset Management (“Octis”) is an Asian multi-strategy Previously Orion Asset Management (“Orion”) was a specialist hedge fund manager based in Singapore that aims to achieve Australian equities fund manag
Slide 29: Boutique Partners
Boutique Partners For personal use only RARE Infrastructure Limited ROC Partners RARE Infrastructure Limited (“RARE”) is an Australian-based ROC is an Australian and Asian private equity investment and boutique manager, founded in 2006, that specializes in investing advice business which was for
Slide 30: For personal use only
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