Perpetual Limited · ASX:PPT
Perpetual — Macquarie Australia Conference 2016
18 slides from Perpetual's conference presentation, May 6, 2016
Slide 1: Perpetual Limited Macquarie Australia Conference
6 May 2016 For personal use only PERPETUAL LIMITED MACQUARIE AUSTRALIA CONFERENCE SYDNEY Geoff Lloyd Chief Executive Officer & Managing Director ABN 86 000 431 827
Slide 2: Agenda
AGENDA For personal use only │ Introduction and strategy overview │ 1H16 highlights │ Perpetual Private – Advice and Investments │ Enablers of strategy │ Q&A 2
Slide 3: Strategy
STRATEGY For personal use only LEAD in core businesses EXTEND into adjacent markets EXPLORE new opportunities GOALS PEOPLE CLIENTS SHAREHOLDERS Employee Engagement Client Advocacy NPAT growth Excellence Australia’s largest Delivering exceptional outcomes and most trusted Integrity Vision independent
Slide 4: 1H16 Overview: Solid results despite volatile equity markets
1H16 OVERVIEW SOLID RESULTS DESPITE VOLATILE EQUITY MARKETS For personal use only SOLID RESULTS NPAT up DPS up Initiatives showing 10% 9% momentum on 1H15 on 1H15 Perpetual Perpetual Perpetual Investments Private Corporate Trust continues to deliver strategy on track with benefitting from growth in
Slide 5: 1H16 Solid Financial Results
1H16 SOLID FINANCIAL RESULTS For personal use only UPAT, $m NPAT, $m NPAT EPS, cps DPS, cps 2.4% 9.9% 9.7% 8.7% 68.4 63.9 64.4 138.5 139.1 125.0 125.0 62.1 63.6 58.6 126.8 115.0 1H15 2H15 1H16 1H15 2H15 1H16 1H15 2H15 1H16 1H15 2H15 1H16 Note: Percentage increases represented are CAGR. 5
Slide 6: 1H16 Results – Growth Highlights
1H16 RESULTS – GROWTH HIGHLIGHTS DIVERSIFIED BUSINESS WITH ALL UNITS CONTRIBUTING TO GROWTH For personal use only All Ordinaries Index Perpetual Investments net inflows, $b 6500 Average 1H16 / 2H15: -7% 1.6 Average 1H16 / 1H15: -3% 6000 0.1 5500 5000 -1.3 4500 31-Dec-14 31-Mar-15 30-Jun-15 30-Sep-15
Slide 7: Perpetual Investments Highlights
PERPETUAL INVESTMENTS HIGHLIGHTS For personal use only Superior outperformance relative to value managers Global Share Fund Australian Performance as at 31/03/16, % Equities Share-Plus exceeded $1 billion in FUM as at 23.6 31 March 2016 18.2 17.3 13.0 Global Share Fund delivering strong performance
Slide 8: Perpetual Corporate Trust
PERPETUAL CORPORATE TRUST DIVERSIFIED BUSINESS WITH A LEADING MARKET POSITION For personal use only TRUST SERVICES – FUA, $b FUND SERVICES – FUA, $b +15% +5% 413.6 178.2 178.6 186.5 359.5 379.6 1H15 2H15 1H16 1H15 2H15 1H16 New earnings stream from investment in data services Continued growth in new
Slide 9: Perpetual Private: HNW segment of the advice revenue pool
PERPETUAL PRIVATE HNW SEGMENT REPRESENTS 80%1 OF THE TOTAL $5B ADVICE REVENUE POOL For personal use only Opportunity for advice and wealth management Business owners 30% of HNW market As at March 2016 Perpetual This targeted Private has a Perpetual segmentation $4.1b deep Product strategy relationsh
Slide 10: Perpetual Private: Complete advice and wealth management offering
PERPETUAL PRIVATE COMPLETE ADVICE AND WEALTH MANAGEMENT OFFERING For personal use only Advice Client Adviser Relationship High Net Worth Advice Needs Estate Planning Native Title Insurance Not-For-Profit Structure Philanthropy Strategy Accounting Services GOALS Service Level Discretionary (MDA) Advi
Slide 11: Perpetual Private: Wealth management and performance
PERPETUAL PRIVATE WEALTH MANAGEMENT AND PERFORMANCE For personal use only Funds Under Advice, $b Performance of Flagship Strategies 13.1 12.6 PERFORMANCE – MARCH 2016 1 YR (%) 3 YR (%) 5 YR (%) Multi Manager – Balanced* -0.5 9.6 8.9 4.2 4.3 Multi Manager Funds Composite Benchmark -1.3 9.1 8.4 Excess
Slide 12: Perpetual Private: Advice and wealth management value chain
PERPETUAL PRIVATE ADVICE AND WEALTH MANAGEMENT VALUE CHAIN For personal use only Chain Value Investment Investment Upfront fee Advice Administration Internal External Charged c. 200 Fees c. $5K 60 – 100 bps 20 – 50 bps c. 40 bps c. 50 bps bps Administration Investment Investment Advice Fee Fee Fee -
Slide 13: Strategy
STRATEGY LEAD in core businesses For personal use only EXTEND into adjacent markets EXPLORE new opportunities GOALS PEOPLE CLIENTS SHAREHOLDERS Employee Engagement Client Advocacy NPAT growth ENABLERS Leadership Client Experience Trusted Brand Innovation Continuous Improvement Excellence Australia’s
Slide 14: Enablers of Strategy: Investment to drive long-term growth
ENABLERS OF STRATEGY INVESTMENT TO DRIVE LONG-TERM GROWTH For personal use only GOALS PEOPLE CLIENTS SHAREHOLDERS Employee Engagement Client Advocacy NPAT growth ENABLERS Leadership Client Experience Trusted Brand Innovation Continuous Improvement Investing in our Transformation 2015 – people to dri
Slide 15: Enablers for Sustainable Competitive Advantage
ENABLERS FOR SUSTAINABLE COMPETITIVE ADVANTAGE FOCUS ON LEADERSHIP AND CONTINUOUS IMPROVEMENT For personal use only Leadership Continuous Improvement Event: Leadership Summit Event: “Lean” training Purpose: Strategic thinking, leading with Purpose: Tools to embed improvement impact, team performance
Slide 16: Conclusion
CONCLUSION For personal use only Solid results despite volatile market conditions Perpetual Investments continues to deliver investment outperformance Perpetual Private offers complete advice and wealth management solutions – positive flows and net client growth Perpetual Corporate Trust del
Slide 17: Contacts
CONTACTS Chief Executive Officer & Managing Director For personal use only Geoff Lloyd geoff.lloyd@perpetual.com.au T: +612 9229 9078 Chief Financial Officer Gillian Larkins gillian.larkins@perpetual.com.au T: +612 9229 3547 General Manager Investor Relations & Corporate Finance Neil Wesley neil.wes
Slide 18: Disclaimer
DISCLAIMER Important information For personal use only The information in this presentation is general background information about the Perpetual Group and its activities current as at 25 February 2016. It is in summary form and is not necessarily complete. It should be read together with the compan