Perpetual Limited reported total Assets Under Management of A$219.2 billion as at 31 March 2026, down 3.6% from A$227.5 billion at the end of 2025. While the decline reflects broader market headwinds, the composition of this movement reveals a business navigating significant challenges in its Asset Management division while maintaining momentum in its service-oriented Corporate Trust operations.
The AUM decrease was driven by three distinct factors. Currency headwinds accounted for A$3.6 billion of the decline, reflecting a stronger Australian dollar against US and UK currencies. Net outflows totalled A$2.8 billion, though this represents moderation from the previous quarter, and negative market movements contributed A$1.9 billion. Average AUM also declined to A$225.3 billion from A$230.8 billion in the December quarter, indicating sustained pressure on the asset base.
The outflow story merits closer examination. The A$2.8 billion in net outflows was primarily driven by Perpetual’s international boutiques. J O Hambro experienced outflows in global strategies due to both client portfolio rebalancing and investment underperformance in Select strategies. Barrow Hanley similarly saw outflows concentrated in Global and US strategies, with Large Cap Value equity accounting for A$1.7 billion of that outflow. These figures suggest investor sentiment toward certain value-oriented strategies remains challenged despite management’s confidence that volatility may provide opportunities for value-style outperformance.
A more positive note comes from the Australian boutiques, which reported net inflows during the quarter across Australian equities, cash, and fixed income strategies. This domestic resilience provides some offset to international outflows and suggests Perpetual retains competitive strength in local market segments.
Beyond Asset Management, management highlighted continued growth in the Corporate Trust business and robust activity in the securitisation market supporting the Debt Markets Services division. The company also attracted new clients in Managed Funds Services and Digital and Markets divisions. These operational successes in service businesses are significant, as they demonstrate diversification beyond the challenged asset management segment.
Perhaps the most material development is the announced sale of the Wealth Management business to Bain Capital Private Equity, with completion expected later in 2026. This strategic transaction represents a significant portfolio shift and could reshape Perpetual’s earnings profile and capital allocation going forward.
Investors should monitor several key metrics in coming quarters. The trajectory of net inflows and outflows in both boutiques will be critical, particularly whether the moderation in outflows continues and whether market recovery supports asset growth. Performance benchmarking against peers in the international strategies experiencing outflows will determine whether the underperformance issues cited are temporary or structural. Additionally, progress toward completion of the Wealth Management sale and its impact on group revenue and costs warrants close attention. This announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About Perpetual Limited (ASX: PPT)
Perpetual Limited is an independent financial services group that provides investment management, wealth advice, and corporate fiduciary services globally. The company operates through three segments: Asset Management, which is a global multi-boutique asset manager; Wealth Management, offering financial planning and trustee services to high-net-worth clients; and Corporate Trust, providing fiduciary and digital solutions to the banking and financial industry. The company is headquartered in Sydney, Australia and was founded in 1886.
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