T. Rowe Price Group, Inc. (TROW) announced its preliminary assets under management (AUM) of $1.59 trillion for July 2024, indicating a 1.1% sequential increase. This growth was attributed to a combination of positive market conditions and net inflows of $2 billion during the month.
Breaking down the AUM composition, TROW’s equity products totaled $814 billion, a slight increase from the previous month. Fixed income (including money market) saw a 1.1% rise to $182 billion. Multi-asset products reached $541 billion, demonstrating a 2.3% increase from the prior month. Alternative products remained stable at $50 billion. Target date retirement portfolios saw a notable 2.4% increase from the previous month, reaching $464 billion in July 2024.
While T. Rowe Price’s diversified business model and strategic initiatives to expand its reach into international markets and through acquisitions are expected to drive top-line growth, some concerns remain. The company’s overdependence on investment advisory fees is a point of concern. Additionally, T. Rowe Price’s bottom-line growth continues to be impacted by high costs. Over the past three months, T. Rowe Price shares have declined by 1.6%, contrasting with the industry’s 2% growth.
In terms of performance, Franklin Resources, Inc. (BEN) reported preliminary AUM of $1.66 trillion as of July 31, 2024, representing a 1% increase from the previous month. This improvement was primarily driven by positive market conditions, partially offset by long-term net outflows. Cohen & Steers, Inc. (CNS) reported preliminary AUM of $84.6 billion as of July 31, 2024, signifying a 4.8% increase from the prior month. This growth was driven by market appreciation of $41 billion, partly offset by net outflows of $45 million and distributions of $153 million.
