Sbi Global Asset Management Co.ltd. · TSE:4765
Sbi Global Asset Management Co.ltd — Q3 FY2024 Earnings Presentation
39 slides from Sbi Global Asset Management Co.ltd's earnings presentation, Jan 30, 2024
Slide 1: Financial Results Overview for 3Q for the Year ending March 2024
Financial Results Overview for 3Q for the Year ending March 2024 Tuesday, January 30, 2024 SBI Global Asset Management Co., Ltd. Representative Director & President Tomoya Asakura
Slide 2: Summary of Consolidated Financial Results
Summary of Consolidated Financial Results 2
Slide 3: Consolidated business results
Consolidated business results Sales and every item of profit surpassed previous all-time high Sales marked the 12th and recurring profit the 15th consecutive year-on- （¥Million） year growth Increase FY 2023 FY 2024 △Decrease Apr.–December. 2022 Apr.–December. 2023 （%） all-time Sales 6,526 high 7,576
Slide 4: Changes in consolidated recurring profit and share price
Changes in consolidated recurring profit and share price We marked 15th successive YoY profit growth, having driven up our share price tenfold in the period. （¥Million） ＜Consolidated recurring profit＞ ＜Company share price＞ （¥） CAGR (compound annual growth rate) 2,007 CAGR (compound annual growth rat
Slide 5: Changes in sales from principal services
Changes in sales from principal services （¥Million） FY 2023 FY 2024 Increase Business/Service Apr.–December. Apr.–December. △Decrease 2022 2023 （%） SBI Asset Management （Management fees） 3,885 4,904 26.2 Asset Management Business USA CARRET Asset Management 1,063 1,138 7.1 （Management fees） Data for
Slide 6: Segmental operating profit
Segmental operating profit ＜Asset Management Business ＞ ＜Financial service business＞ （¥ million ） （¥ million ） 13.2%Up 1,285 1.0%Up 1,135 385 381 FY 2023 FY 2024 FY 2023 FY 2024 Apr.–December. 2022 Apr.–December. 2023 Apr.–December. 2022 Apr.–December. 2023 6
Slide 7: Growing Asset Management Business
Growing Asset Management Business 7
Slide 8: Changes in net assets managed by the Company Group
Changes in net assets managed by the Company Group Publicly offered index funds and publicly offered active funds grew 71.1% and 47.8% respectively Publicly offered active funds Publicly offered index funds Privately placed funds Discretionary/advisory 15.0%Up (¥ 100million) 51,520 49,784 50,737 50,
Slide 9: Comparison in assets under management: all investment trusts vs index funds managed by SBI
Comparison in assets under management: ‘All investment trusts’ vs ‘Index funds managed by SBI Asset Management’ Growth in assets managed by SBI Asset Management significantly outpaced total market ＜Investment trusts total＞ ＜Publicly offered investment trusts offered by SBI Publicly offered open-ende
Slide 10: Asset management companies with publicly-offered stock investment trusts ranked by AUM
Asset management companies with publicly-offered stock investment trusts ranked by AUM Over the last 3 years, AUM of SBI Asset Management increased by 6.8 times, overwhelmingly outnumbering that of top tiers managers. End of December 2020 End of December 2023 Total net assets Rate of increase Total
Slide 11: Changes in AUM of index funds
Changes in AUM of index funds Over a period of 3 years (December 2020 ～ December 2023), AUM grew by 9.4 times. （Trillion yen） 2020/12 2023/12 increase rate Exceeded ￥2.0 trillion on 3 January 23, 2024 SBI Asset Management 198.1 billion yen 1,858.1 billion yen 9.4times Total net assets of all managem
Slide 12: Monthly net cash inflows into index funds
Monthly net cash inflows into index funds ‘SBI・V・S&P500’ fund recorded an inflow of ￥12.9 billion, marking an all- time high daily net cash inflow since its launch. As of January 24th, 2024: ￥41.6 bn (¥ 100million) On January 9th, ‘SBI・V・S&P500’ 600 576 fund recorded an all- time high daily inflow 5
Slide 13: The number of beneficiaries of index funds continued to show double-digit growth
The number of beneficiaries of index funds continued to show double-digit growth Of total beneficiaries, those with the ‘saving-type account’ represent 62.7%, standing at 1.22 million. （ 10,000 people） <Beneficiaries> 220 200 194.5 180 26.8%Up 160 153.4 140 120 100 80 60 40 20 0 End of December 2022
Slide 14: Purchasing channels for index funds
Purchasing channels for index funds Almost all capital invested in index funds was via Internet channels (these include NISA & iDeCo and corporate DC). Face-to-face OTC channel 0.1% Freshly collected NISA 19.9% Tax-advantaged account General NISA General net channel Breakdown of 9.5% Internet channe
Slide 15: Rankings of net cash inflows into publicly offered index funds
Rankings of net cash inflows into publicly offered index funds （2023/1～2023/12） Net cash inflows into Number of funds Ranking Asset management companies publicly-offered index funds (funds) (¥100 mil) 1 Mitsubishi UFJ Kokusai Asset Management Co., Ltd. 20,387 161 2 SBI Asset Management Co., Ltd. 3,7
Slide 16: Product Line Up for New NISA
Product Line Up for 「New NISA」 Tsumitate NISA つみたて：9funds, Growth NISA 成長 ：58funds （incl. 9funds for Tsumitate NISA） ＜Main Funds for “New NISA” with competitive management fees＞ Asset Asset Fund Name Class Fund Name TER Class TER 成長 つみたて SBI V US All Equity Index Fund 0.0938% 成長 つみたて SBI iShares Nik
Slide 17: AUM by investment trusts that target faster-growing emerging economies
AUM by investment trusts that target faster-growing emerging economies have also shown steady growth since their launches ＜SBI iShares Indian Equity Index Fund＞ ＜EXE-i Global South Equity Fund＞ AUM （¥Million） AUM （¥Million） 30,000 29,523 4,000 3,877 ・SBI iShares India Equity Index Fund offers ・This
Slide 18: AUM of SBI Japan High Dividend Stock Fund exceeded ¥30 billion
AUM of SBI Japan High Dividend Stock (Distribution) Fund (Quarterly Dividend Type) exceeded￥30 billion in just 23 business days after its launch. Fund expense ratio 0.099% Average cost of 1.453% Japanese share funds Fund’s performance since +9.79% launch (Difference with TOPIX：+2.4%） TOPIX +7.39% AU
Slide 19: Establishment of SBI Europe High Dividend Stock Fund
Establishment of SBI Europe High Dividend Stock (Distribution) Fund (Quarterly Dividend Type) Just like Japan High Dividend Stock Fund, this is an extremely low cost fund targeting European shares Expense ratio expense ratio 0.099%（including tax） Average cost of 1.717% European stock funds Yield on
Slide 20: Establishment of US High Dividend Stock Funds
Establishment of 3 US High Dividend Stock Funds (Quarterly Dividend Type) Initial assets (SBI・V・High Dividend: ￥2.6 billion, SBI・SPDR: ￥1.2 billion) SBI V US High Dividend SBI SPDR US High Dividend SBI V US Dividend Appreciation Fund Name Equity Index Fund Equity Index Fund Equity Index Fund （Quarte
Slide 21: Pursuing diversification through high dividend stock funds
Pursuing diversification of country, currency, and dividend payment month through high dividend stock funds SBI V US High Dividend Equity Index Fund （Quarterly Dividend Type） SBI European High Dividend Equity Fund (Quarterly Dividend Type) SBI V US Dividend Appreciation Equity Index Fund （Quarterly
Slide 22: Complete line of funds with Quarterly Dividend Type
Complete line of SBI Asset Management’s funds with Quarterly Dividend Type region Japan USA Europe assets stock bond stock bond stock SBI V US Dividend SBI SPDR US SBI iShares US SBI Japanese SBI Japanese SBI V US High SBI iShares US SBI iShares US SBI European Appreciation High Dividend IG 1-5year
Slide 23: Combined net assets of SBI Wrap and SBI Wrap X (cross) funds
The combined net assets of ‘SBI Wrap’ and ‘SBI Wrap X (cross)’ funds managed by SBI Asset amounted to￥80.9 billion. ＜SBI Wrap＞ ＜SBI wrap X (cross)＞ （2022/3/31～2023/12/31） （2022/10/20～2023/12/31） （number） (¥ 100million) （number） (¥ 100million) SBI SECURITIES Co.,Ltd. SBI Shinsei Bank, Limited 100,000
Slide 24: Implementation and progression of the declaration of Product Governance
Implementation and progression of the declaration of ‘Product Governance’ ＜Launching new funds adaptable to long-term, ＜Selection and focus on active funds＞ periodic and diversified investment＞ Redemption Launch date Name of newly established fund Name of redeemed fund date 1 SBI iShares US Aggregat
Slide 25: Efforts to improve the quality of existing funds and reduce expense ratios
Efforts to improve the quality of existing funds and reduce expense ratios EXE-i Developed Countries Bond Fund ・Expansion in SBI iShares Global Aggregate Bond Index Fund ・Launched in May 2013 investment choices ・Investment Target : Global bonds ・Investment Target : Bonds in developed ・Significant co
Slide 26: Speed of growth in net assets managed by privately placed investment trusts
Speed of growth in net assets managed by privately placed investment trusts under rising interest rates Over the past 3 years (end of December 2020 ～ end of December 2023) ＜Total net assets of privately placed investment ＜Total net assets of privately placed funds by trusts in the investment trusts
Slide 27: Comparison of net assets growth with WealthNavi
Comparison of net assets growth with ‘ WealthNavi’ (the provider of robo advisors) ＜SBI Asset Management＞ ＜WealthNavi＞ (¥ 100million) Net assets of publicly Assets under management offered investment trusts (¥ 100million) 10,000 21,371 10,000 21,000 38.9%Up 67.7%Up 8,000 7,197 14,000 12,747 6,000 4,
Slide 28: Financial services business
Financial services business 28
Slide 29: Demand for Lifeplan and online content tools
Amongst the tools for face-to-face, relation-centric financial institutions, ‘Lifeplan’ and ‘Content available online’ have gained greater demand. 「Wealth Advisor」 「Lifetime planning」 「Content available online」 Lifetime planning Inheritance Robo advisors simulations simulations (Number of companies)
Slide 30: A sharp rise in post-pandemic revenue associated with seminars
A sharp rise in post-pandemic revenue associated with seminars ＜Media Solutions sales＞ （¥Million） 314 30.3%Up 241 FY 2023 FY 2024 Apr.–December. 2022 Apr.–December. 2023 30
Slide 31: Media Solutions business posted increased seminar and advertising transactions
The Media Solutions business posted increased transactions of seminar/advertising services, thanks to a marked recovery of the number of asset management seminars ＜Asset management seminars＞ ＜Application downloads＞ ＜Number of face- ＜Number of sponsor （10,000 DLs） to-face seminars＞ companies＞ 140 68
Slide 32: Holding more tie-up seminars with regional banks
Holding more tie-up seminars with regional banks Fukuoka Financial Group, Inc. Concordia Financial Group, Ltd. （Bank of Fukuoka, Kumamoto Bank, Juhachi-Shinwa （ Bank of Yokohama, Kanagawa Bank and Bank, Fukuoka Chuo Bank and FFG Securities Co., Ltd. Hamagin TT Securities） Investment Trust Fair 2024
Slide 33: We plan to continue to hold joint seminars with regional banks across Japan
We plan to continue to hold joint seminars with regional banks across Japan Shiga Prefecture Hokkaido Osaka prefecture (North Pacific Bank) Hyogo prefecture Aomori Prefecture Kagawa Prefecture Akita prefecture Fukuoka Prefecture Miyagi Prefecture (Fukuoka Bank) Niigata Prefecture Kumamoto Prefecture
Slide 34: Proactive Implementation of Alternative Investments
Proactive Implementation of ‘Alternative’ Investments 34
Slide 35: Portfolio structure by asset class - Privately placed trusts for regional banks
Portfolio structure by asset class - Privately placed investment trusts for regional banks entrusted to SBI Asset Management Percentage of alternative strategies is rising As of the end of December 2020 As of the end of December 2023 Multi-asset strategy Shares and REITs1% 1% Alternative Alternative
Slide 36: Portfolio structure by asset class - Corporate pension funds and university foundations
Portfolio structure by asset class - Corporate pension funds and college and university foundation funds entrusted to SBI Asset Management Alternative assets and strategies account for approximately 55% of total assets Securitized domestic bonds products 13.1% 11.6% Private equity overseas bonds 18.
Slide 37: Increasing share of alternative investments in corporate pension fund assets
Increasing share of alternative investments in corporate （%） pension fund assets 20 17.7 18 15.5 16 15.1 14.3 13.5 14 12.7 12.2 12 11.2 9.5 9.8 10 9.2 8.7 8.2 8.2 7.9 7.8 7.6 7.5 8 7.0 6 4 2 0 2003 2005 2007 2009 2011 2013 2015 2017 2019 2021 （Year） Source: Created by us with reference to the Financ
Slide 38: Proactive offering of alternative strategies and assets
Proactive offering of ‘alternative strategies and assets’ The SBI Group is to establish a joint venture (JV) with two of the world's leading alternative investment managers. Man Group plc 「Man Group」 KKR & Co. Inc 「KKR」 Trend-following strategies Private equity Long/short strategies Private debt SBI
Slide 39: The Company Group aims for AUM to surpass ¥10 trillion in two years and ¥20 trillion in four years
The Company Group aims for AUM to surpass￥10 trillion in two years and￥20 trillion in four years. (¥ 100million) 200,000 200,000 Publicly offered active funds 9,000 5,000 180,000 Publicly offered index funds 45,000 160,000 Privately placed funds 142,000 140,000 Discretionary/advisory 7,500 BY the en
SBI Global Asset Management — Q3 FY2024 Earnings Presentation on 6ix