Franklin Resources, Inc. Announces Month-End Assets Under Management

Rhea-AI Summary

Franklin Resources (NYSE: BEN) reported preliminary assets under management (AUM) of $1.58 trillion as of January 31, 2025, remaining stable compared to December 2024. The company experienced positive market impact, offset by $13 billion in preliminary long-term net outflows, primarily due to $17 billion outflows from Western Asset Management. Excluding Western Asset Management, the company saw $4 billion in long-term net inflows.

By asset class, Equity AUM increased to $636.0 billion, Fixed Income decreased to $455.6 billion, Alternative assets rose to $250.8 billion, and Multi-Asset grew to $177.6 billion. Cash Management slightly decreased to $63.2 billion.

Positive

• Equity AUM increased from $620.0B to $636.0B
• $4B long-term net inflows excluding Western Asset Management
• Alternative assets increased from $248.8B to $250.8B
• Multi-Asset AUM grew from $174.0B to $177.6B

Negative

• $13B total long-term net outflows
• $17B net outflows from Western Asset Management
• Fixed Income AUM declined from $469.5B to $455.6B
• Western Asset Management's AUM decreased from $272B to $255B

Insights

Investment Management Analyst

The January AUM report for Franklin Resources reveals significant underlying dynamics that warrant investor attention. While the headline $1.58 trillion AUM remains stable month-over-month, the composition tells a more complex story.

The most concerning element is Western Asset Management's substantial $17 billion in outflows, representing approximately 6.25% of their AUM in a single month. This continues a troubling trend in the fixed income segment, which has declined by 19.5% from $565.9 billion to $455.6 billion year-over-year.

However, there are positive counterbalances:

• The equity segment has grown by 15.4% year-over-year to $636 billion, demonstrating strong organic growth and market appreciation
• Excluding Western Asset Management, the company achieved $4 billion in net inflows, indicating healthy demand for other investment strategies
• Multi-asset solutions continue to gain traction, growing 10.6% year-over-year to $177.6 billion

The shifting asset mix toward higher-fee products like equity and alternative investments could potentially support profit margins, despite the challenges in fixed income. However, the persistent outflows at Western Asset Management require strategic attention and may impact near-term financial performance.

SAN MATEO, Calif.--(BUSINESS WIRE)-- Franklin Resources, Inc. (Franklin Templeton) (NYSE: BEN) today reported preliminary month-end assets under management (AUM) of $1.58 trillion at January 31, 2025, compared to $1.58 trillion at December 31, 2024. This month’s AUM reflected the impact of positive markets, partially offset by preliminary long-term net outflows of $13 billion, inclusive of $17 billion of long-term net outflows at Western Asset Management.¹ Excluding Western Asset Management, preliminary long-term net inflows were $4 billion.

By Asset Class:
(In USD billions)	Preliminary
	31-Jan-25	31-Dec-24	30-Sep-24	30-Jun-24	31-Jan-24
Equity	$636.0	$620.0	$632.1	$595.0	$550.9
Fixed Income	455.6	469.5	556.4	564.5	565.9
Alternative	250.8	248.8	249.9	254.5	256.4
Multi-Asset	177.6	174.0	176.2	168.1	160.6
Long Term:	1,520.0	1,512.3	1,614.6	1,582.1	1,533.8
Cash Management	63.2	63.4	64.0	64.5	68.1
Total Ending AUM	$1,583.2	$1,575.7	$1,678.6	$1,646.6	$1,601.9

¹ As of January 31, 2025, Western Asset Management had preliminary AUM of $255 billion, compared to $272 billion at December 31, 2024. This month’s AUM reflected the impact of positive markets, the aforementioned preliminary long-term net outflows of $17 billion, and preliminary cash management net outflows of $1 billion.

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 150 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 offers specialization on a global scale, bringing extensive capabilities in equity, fixed income, alternatives and multi-asset solutions. With more than 1,500 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 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, financial performance and market conditions. 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 that may cause actual results and outcomes to differ materially from any future results or outcomes expressed or implied by such forward-looking statements, including market and volatility risks, investment performance and reputational risks, global operational risks, competition and distribution risks, third-party risks, technology and security risks, human capital risks, cash management risks, and legal and regulatory risks. 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, 2024 and our subsequent Quarterly Reports on Form 10-Q. 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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250205939794/en/

Franklin Resources, Inc.

Investor Relations: Selene Oh (650) 312-4091, selene.oh@franklintempleton.com

Media Relations: Jeaneen Terrio (212) 632-4005, jeaneen.terrio@franklintempleton.com

investors.franklinresources.com

Source: Franklin Resources, Inc.

FAQ

What was Franklin Resources (BEN) total AUM as of January 31, 2025?

Franklin Resources reported total assets under management of $1.58 trillion as of January 31, 2025.

How much were the net outflows from Western Asset Management for BEN in January 2025?

Western Asset Management experienced $17 billion in long-term net outflows during January 2025.

What was the performance of BEN's Equity AUM in January 2025?

Franklin Resources' Equity AUM increased from $620.0 billion to $636.0 billion in January 2025.

How did BEN's Fixed Income assets perform in January 2025?

Franklin Resources' Fixed Income AUM decreased from $469.5 billion to $455.6 billion in January 2025.

What was BEN's net flow performance excluding Western Asset Management in January 2025?

Excluding Western Asset Management, Franklin Resources recorded $4 billion in long-term net inflows.