Franklin Resources, Inc. Announces Month-End Assets Under Management
10 June 2021 - 6:30AM
Business Wire
Franklin Resources, Inc. (Franklin Templeton) (NYSE: BEN) today
reported preliminary month-end assets under management of $1,543.5
billion at May 31, 2021, compared to $1,529.3 billion at April 30,
2021. This month’s increase in AUM primarily reflected the positive
impact of markets and cash management net inflows, partially offset
by slight long-term net outflows inclusive of approximately $300
million of outflows from the previously disclosed
non-management-fee-earning India credit funds that are in the
process of liquidation.1
By Asset Class:
(In USD billions)
Preliminary
31-May-21
30-Apr-21
31-Mar-21
31-Dec-20
31-May-20
Fixed Income1
$654.3
$651.1
$642.3
$669.9
$212.3
Equity
535.9
531.2
511.9
495.7
230.0
Multi-Asset
154.1
152.6
148.2
141.1
118.6
Alternative
135.4
134.0
131.1
127.1
46.5
Long Term:
1,479.7
1,468.9
1,433.5
1,433.8
607.4
Cash Management
63.8
60.4
65.4
64.2
10.2
Total
$1,543.5
$1,529.3
$1,498.9
$1,498.0
$617.6
1 Following the approximately $300 million outflow, the
remaining AUM in our India credit funds was $1.7 billion as of May
31, 2021.
About Franklin Templeton
Franklin Resources, Inc. (NYSE:BEN) is a global investment
management organization with subsidiaries operating as Franklin
Templeton and serving clients in over 165 countries. Franklin
Templeton’s mission is to help clients achieve better outcomes
through investment management expertise, wealth management and
technology solutions. Through its specialist investment managers,
the company brings extensive capabilities in equity, fixed income,
multi-asset solutions and alternatives. With offices in more than
30 countries and approximately 1,300 investment professionals, the
California-based company has over 70 years of investment
experience. The company posts information that may be significant
for investors in the Investor Relations and News Center sections of
its website, and encourages investors to consult those sections
regularly. For more information, please visit
investors.franklinresources.com.
Forward-Looking Statements
The financial results in this press release are preliminary.
Some of the statements herein may include forward-looking
statements that reflect our current views with respect to future
events and financial performance. Such statements are provided
under the “safe harbor” protection of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements include
all statements that do not relate solely to historical or current
facts and generally can be identified by words or phrases written
in the future tense and/or preceded by words such as “anticipate,
“believe,” “could,” “depends,” “estimate,” “expect,” “intend,”
“likely,” “may,” “plan,” “potential,” “preliminary,” “seek,”
“should,” “will,” “would,” or other similar words or variations
thereof, or the negative thereof, but these terms are not the
exclusive means of identifying such statements.
Forward-looking statements involve a number of known and unknown
risks, uncertainties and other important factors, some of which are
listed below, that may cause actual results and outcomes to differ
materially from any future results or outcomes expressed or implied
by such forward-looking statements. While forward-looking
statements are our best prediction at the time that they are made,
you should not rely on them and are cautioned against doing so.
Forward-looking statements are based on our current expectations
and assumptions regarding our business, the economy and other
possible future conditions. Because forward-looking statements
relate to the future, they are subject to inherent uncertainties,
risks and changes in circumstances that are difficult to predict.
They are neither statements of historical fact nor guarantees or
assurances of future performance. Factors or events that could
cause our actual results to differ may emerge from time to time,
and it is not possible for us to predict all of them.
These and other risks, uncertainties and other important factors
are described in more detail in our recent filings with the U.S.
Securities and Exchange Commission, including, without limitation,
in Risk Factors and Management’s Discussion and Analysis of
Financial Condition and Results of Operations in our Annual Report
on Form 10-K for the fiscal year ended September 30, 2020 and our
subsequent Quarterly Reports on Form 10-Q:
- Our business and operations are subject to adverse effects from
the outbreak and spread of contagious diseases such as COVID-19,
which adverse effects may continue.
- Volatility and disruption of our business and the capital and
credit markets and adverse changes in the global economy may
significantly affect our results of operations and may put pressure
on our financial results.
- The amount and mix of our assets under management (“AUM”) are
subject to significant fluctuations.
- We are subject to significant risk of asset volatility from
changes in the global financial, equity, debt and commodity
markets.
- Our funds may be subject to liquidity risks or an unanticipated
large number of redemptions and fund closures.
- A shift in our asset mix toward lower fee products may
negatively impact our revenues.
- We may not effectively manage risks associated with the
replacement of benchmark indices.
- Poor investment performance of our products could reduce the
level of our AUM or affect our sales, and negatively impact our
revenues and income.
- Harm to our reputation may negatively impact our revenues and
income.
- Our completed acquisition of Legg Mason, Inc. remains subject
to integration risks.
- Our business operations are complex and a failure to perform
operational tasks properly or comply with applicable regulatory
requirements could have an adverse effect on our revenues and
income.
- Failure to establish adequate controls and risk management
policies, or the circumvention of controls and policies, could have
an adverse effect on our global operations, reputation and
financial position.
- We face risks, and corresponding potential costs and expenses,
associated with conducting operations and growing our business in
numerous countries.
- Our focus on international markets as a source of investments
and sales of our products subjects us to increased exchange rate
and market-specific political, economic or other risks that may
adversely impact our revenues and income generated overseas.
- We may review and pursue strategic transactions that could pose
risks to our business.
- Failure to properly address the increased transformative
pressures affecting the asset management industry could negatively
impact our business.
- Strong competition from numerous and sometimes larger companies
with competing offerings and products could limit or reduce sales
of our products, potentially resulting in a decline in our market
share, revenues and income.
- Increasing competition and other changes in the third-party
distribution and sales channels on which we depend could reduce our
income and hinder our growth.
- Any failure of our third-party providers to fulfill their
obligations, or our failure to maintain good relationships with our
providers, could adversely impact our business.
- We may be adversely affected if any of our third-party
providers is subject to a successful cyber or security attack.
- Our ability to manage and grow our business successfully can be
impeded by systems and other technological limitations.
- Any significant limitation, failure or security breach of our
information and cyber security infrastructure, software
applications, technology or other systems that are critical to our
operations could disrupt our business and harm our operations and
reputation.
- Our inability to recover successfully, should we experience a
disaster or other business continuity problem, could cause material
financial loss, regulatory actions, legal liability, and/or
reputational harm.
- We depend on key personnel and our financial performance could
be negatively affected by the loss of their services.
- Our ability to meet cash needs depends upon certain factors,
including the market value of our assets, our operating cash flows
and our perceived creditworthiness.
- We are dependent on the earnings of our subsidiaries.
- We are subject to extensive, complex, overlapping and
frequently changing rules, regulations, policies, and legal
interpretations.
- We may be adversely affected as a result of new or revised
legislation or regulations or by changes in the interpretation of
existing laws and regulations, in the U.S. and other
jurisdictions.
- Global regulatory and legislative actions and reforms have made
compliance in the regulatory environment in which we operate more
costly and future actions and reforms could adversely impact our
financial condition and results of operations.
- Failure to comply with the laws, rules or regulations in any of
the jurisdictions in which we operate could result in substantial
harm to our reputation and results of operations.
- Changes in tax laws or exposure to additional income tax
liabilities could have a material impact on our financial
condition, results of operations and liquidity.
- Regulatory and governmental examinations and/or investigations,
litigation and the legal risks associated with our business, could
adversely impact our AUM, increase costs and negatively impact our
profitability and/or our future financial results.
- Our contractual obligations may subject us to indemnification
costs and liability to third parties.
- Failure to protect our intellectual property may negatively
impact our business.
If a circumstance occurs after the date of this press release
that causes any of our forward-looking statements to be inaccurate,
whether as a result of new information, future developments or
otherwise, we undertake no obligation to announce publicly the
change to our expectations, or to make any revision to our
forward-looking statements, to reflect any change in assumptions,
beliefs or expectations, or any change in events, conditions or
circumstances upon which any forward-looking statement is based,
unless required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20210609005900/en/
Franklin Resources, Inc. Investor Relations: Selene Oh (650)
312-4091, selene.oh@franklintempleton.com Media Relations: Matt
Walsh (650) 312-2245, matthew.walsh@franklintempleton.com
investors.franklinresources.com
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