) reported higher preliminary month-end assets under management
(AUM) for Feb 2014. The AUM for the month was $791.2 billion, up
3.4% from $764.9 billion at the end of Jan 2014.
Favorable market returns and net inflows were the primary factors
behind the rise. Further, foreign exchange led to a $2.6 billion
increase in AUM. In February, Invesco's preliminary average total
AUM was $774.9 billion and preliminary average active AUM was
At the end of February, Invesco's total equity AUM rose 5.4% from
the prior month to $390.8 billion. Fixed income AUM increased
1.6% from the prior month to $175.5 billion.
Additionally, Invesco's balanced AUM was $54.8 billion, up 5.2%
from $52.1 billion at the end of Jan 2014. Also,
alternative AUM came in at $90.7 billion in the reported month,
growing 2.4% from the prior-month level. However, the company's
money market AUM declined 1.5% from Jan 2014 level to $79.4
Among other investment managers,
Franklin Resources Inc.
) announced preliminary AUM of $882.2 billion by its subsidiaries
for Feb 2014, which marked a 2.9% rise from $857.2 billion as of
Jan 2014. Further,
Legg Mason Inc.
) is expected to announce its preliminary AUM for the month of
Feb 2014 later this week.
Invesco's operating leverage is likely to improve significantly
over the long term, driven by cost-control initiatives. Further,
the rebound in the equity market and improvement in global
investment flows will act as catalysts. However, the company's
high debt levels and rising expenses remain concerns.
Currently, Invesco carries a Zacks Rank #3 (Buy). Another asset
manager worth considering is
Fortress Investment Group LLC
) with a Zacks Rank #1 (Strong Buy).
FRANKLIN RESOUR (BEN): Free Stock Analysis
FORTRESS INVEST (FIG): Free Stock Analysis
INVESCO LTD (IVZ): Free Stock Analysis Report
LEGG MASON INC (LM): Free Stock Analysis
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