The IOOF Holdings Limited (ASX: IFL) share price dropped nearly 6% today, making it one of the worst performers in the ASX 200.
IOOF Holdings is a diversified financials business that offers a variety of services to clients including financial advice, platform management & administration, investment management and trustee services. IOOF has been operating since 1846 and is now one of the largest financial services industry businesses.
Why IOOF Shares Declined Today
IOOF gave its March 2019 quarter and year to date update today.
In the third quarter of FY19 it experienced net inflows of $337 million in funds under management, administration and advice (FUMA).
The portfolio & estate administration segment saw $183 million of net inflows, The financial advice segment saw $263 million of net inflows and the investment management segment had $129 million of net outflows.
IOOF Acting CEO Renato Mota said: “It’s pleasing to see continued positive flows into our proprietary platforms despite challenging market conditions.”
IOOF also reiterated it expects the revenue impact of ‘Protecting Your Super’ will be approximately $3 million for removal of exit fees and $5 million of the Protecting Your Super measures. Therefore, the total impact for FY20 is $8 million.
IOOF is operating in a challenged environment at the moment, so I don’t think it’s a great place to invest right now. The three ASX shares in the free report below could be more reliable for returns than IOOF.
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