Milford Funds fee income jumps after stellar year
Profit hits $1.05 million in the year ended March 31, from $119,509 a year earlier.
BUSINESSDESK: Milford Funds, a unit of Milford Asset Management that discloses its financial results, reported a jump in annual fees, driving up profit, as growth in funds under management and improved results lifted performance fees.
Profit rose to $1.05 million in the year ended March 31, from $119,509 a year earlier, according to the Auckland-based company’s financial statements. Fees, its principal source of funding, jumped to $5.3 million from $1.76 million.
Expenses climbed to $3.87 million from about $1.6 million, with the biggest increase coming from a management services fee payable to parent Milford Asset.
Milford’s funds under management now exceed $1 billion, FundSource says.
In the June quarter, the company had the fourth-fastest inflow of funds in the market and in terms of performance its Active Growth Fund and Income Fund were the top performers in those sectors, and its Trans-Tasman Fund was No 2 in its sector, FundSource says.
In the year ended March 31, Milford exceeded the 10% return hurdle required to trigger its best-ever performance fee, managing director Anthony Quirk told BusinessDesk. “We’ve had very high growth [in funds] and a fantastic investment performance. If clients do well, we do well.”
He said Milford is “ahead of budget in terms of revenue growth” for the current year.
Milford Asset, formed in 2003, is a closely held company with 11 shareholder allocations listed on the Companies Office website.
Of the 1.8 million shares on issue, high-profile media commentator and Milford director Brian Gaynor owns 450,000, or about 25% of the company.
Interests associated with director Graeme Thomas and managing director Anthony Quirk each own about 12%.
Jonathan Underhill
Fri, 10 Aug 2012
Fri, 10 Aug 2012
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Milford Funds fee income jumps after stellar year
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