Australian Ethical Investment Ltd · ASX:AEF
Australian Ethical Investment — H1 FY2016 Earnings Presentation
16 slides from Australian Ethical Investment's earnings presentation, Feb 25, 2016
Slide 1: Results and company update, half year ended 31 Dec 2015
For personal use only Results and company update Half year ended 31 Dec 2015 25 February 2016
Slide 2: Our Purpose: Investing for a Better World
Our Purpose Investing for a Better World For personal use only Australian Ethical is a financial services company with a difference. We invest for our clients and manage our business, conscious of the impact that our actions have on the world around us. We do not compromise on ethics or performance.
Slide 3: Leader in ethical investing
Leader in ethical investing For personal use only 30 years unwavering commitment to ethical investing Industry thought leader in ethical investment Top quartile investment performance Competitive products with multiple investment options meeting most Investment client asset allocation needs
Slide 4: Business model
Business model For personal use only Integrated business, offering a broad range of products, across most asset classes accessed through multiple channels Channels Direct Employers Advisers Product Super and Pension Managed funds $908m (65%) $492m (35%) packaging 13 options 8 products Investment man
Slide 5: Our approach: Examples of areas where we invest
Our approach: Examples of areas where we invest For personal use only We make good investments in areas such as: We avoid companies involved in: 5
Slide 6: Examples of companies we invest in
Examples of companies we invest in Our investment portfolios are well-balanced with larger well-known companies, as For personal use only well as small and emerging companies. Example investments below. You can view all of the companies we invest in on our website. Financial services Health & wellbe
Slide 7: Our Ethical Process
Our Ethical Process For personal use only We’ve had the same clear starting point for our investment decisions since the company began in 1986 – our Australian Ethical Charter. The Charter (see our website) lists 12 things we will support and 11 harms we will avoid when investing. 7
Slide 8: Half Year Results to Dec 2015
For personal use only Half Year Results to 31 Dec 2015
Slide 9: Highlights
Highlights For personal use only Significant increase in net inflows and FUM for the half year. Net Strong growth inflows double previous corresponding half year Solid investment Regular top quartile performance for a number of funds. performance Industry awards. Superannuation fees on key My Super
Slide 10: Financial results
Financial results For personal use only Strong profit growth, strong new business Key Financials (A$000s) HY 14/15 HY 15/16 Change Revenue 9,859 10,940 11% Operating expenses (8,139) (8,358) (3%) Non-operating expenses (1,167) (1,081) 7% NPAT 553 1,501 172% UPAT 1 965 1,501 55% Operating cashflow 2
Slide 11: Key drivers
Key drivers For personal use only Key metric Drivers ↑ 35% increase made up of: ↑ 25% from strong net inflows (double pcp) from growing demand for ethical FUM investing, investment in digital marketing and consistently strong investment performance ↑ 10% asset management performance ↑ 11% increase R
Slide 12: Funds under management and net inflows
Funds under management and net inflows For personal use only Strong growth in both superannuation and managed funds HY 14/15 HY 15/16 ($m) ($m) Change Opening 887 1,167 32% Super flows 60 96 59% Managed funds flows 17 59 251% Net flows 77 155 102% Market movement 74 79 7% Closing* 1,038 1,401 35% *
Slide 13: Strong net inflows
Strong net inflows • Net inflows have increased dramatically over recent years For personal use only • Growth driven by increased demand for ethical investing, consistent asset management performance, more competitive products, our large digital community and investment in online optimisation • Grow
Slide 14: Top quartile asset management performance
Top quartile asset management performance Proven track record of asset management outperformance For personal use only • Regular top quartile performance by numerous products • Australian shares fund ranked 1st out of 51 over 10 years 1 year 3 years 5 years 7 years 10 years MANAGED FUNDS Quartile Qu
Slide 15: HY2016 results compared to previous HY results
HY2016 results compared to previous HY results Strong growth in operational and financial performance For personal use only Funds Under Management ($m) Revenue ($m) 1,401 10.9 1,039 9.9 9.7 802 7.7 7.3 7.1 6.8 630 654 669 599 2009 2010 2011 2012 2013 2014 2015 2009 2010 2011 2012 2013 2014 2015 Prof
Slide 16: Disclaimer
Disclaimer Australian Ethical Investment Ltd (ABN 47 003 188 930; Australian Financial Services Licence No. 229949) is the For personal use only Responsible Entity and Investment Manager of the Australian Ethical Managed Investment Funds. Interests in the Australian Ethical Retail Superannuation Fun
Australian Ethical Investment — H1 FY2016 Earnings Presentation on 6ix