Amundi Reports Positive Net Inflows Amid Market Volatility
The asset manager recorded 5.0 billion euros in net inflows during the first half of 2022 despite a broader European market downturn.
Amundi recorded a total net inflow of 5.0 billion euros in the first half of 2022, defying a broader European asset management trend where open-ended funds saw net outflows of 242 billion euros. The asset manager attributed this resilience to a diversified model and growth in Asia, which now represents approximately 20% of its total assets under management.
Assets under management reached 1,925 billion euros as of June 30, 2022, a 7.3% increase over one year. This growth occurred despite a negative market effect of 144.2 billion euros and a 20% decline in the average EuroStoxx index between December 2021 and June 2022. The company said the positive net inflows were driven by joint ventures, which contributed 21.5 billion euros, and medium-to-long-term assets excluding joint ventures, which added 11.0 billion euros. These gains offset 27.6 billion euros in outflows from cash products.
Financial performance remained stable with revenues excluding financial products at 1,615 million euros, compared to 1,623 million euros in the first half of 2021. Net management fees rose 12.0%, or 4.6% on a constant perimeter, supported by the acquisition of Lyxor and 12-month collection dynamics. Performance fees declined to 95 million euros from an exceptional 266 million euros in the first half of 2021.
The company reported a net accounting result of 527 million euros, which includes 37 million euros in after-tax integration costs related to Lyxor. On an adjusted basis, the net result was 593 million euros. Operating expenses rose to 844 million euros due to IT investments and the Lyxor acquisition, though they remained nearly stable at 0.8% on a constant perimeter. The company maintained an operating coefficient of 53.1%.
Amundi Technology revenues grew 15.5% to 22 million euros. The company expanded this segment through the acquisition of Savity, an Austrian fintech providing white-label robo-advisor solutions for the retail market in Germany and Austria.
Liquidity and solvency indicators showed improvement. The average 12-month Liquidity Coverage Ratio rose to 320% in June 2022 from 169% in June 2021. The CET1 solvency ratio increased to 17.9% by the end of June 2022, up from 16.1% on December 31, 2021. On July 28, 2022, the company renewed a 1,750 million euro multi-currency syndicated revolving credit facility for an initial five-year term.
Looking toward 2025, the company targets an average annual growth in adjusted net result of 5%. Amundi aims to increase Amundi Technology revenues to 150 million euros and expand assets distributed via Fund Channel to over 600 billion euros. The company intends to maintain an ordinary dividend distribution rate of at least 65%, expecting approximately 3 billion euros in cumulative ordinary dividends through 2025.