T. ROWE PRICE GROUP REPORTS PRELIMINARY MONTH-END ASSETS UNDER MANAGEMENT FOR MAY 2024

Rhea-AI Summary

T. Rowe Price Group (NASDAQ: TROW) reported preliminary month-end assets under management (AUM) of $1.54 trillion as of May 31, 2024.

The firm experienced net inflows of $6.7 billion in May, driven by a significant institutional fixed income inflow.

Assets by class at the end of May were as follows: $790 billion in equity, $180 billion in fixed income (including money market), $524 billion in multi-asset, and $48 billion in alternatives.

The target date retirement portfolios reached $447 billion in AUM. These figures are preliminary and subject to adjustment.

Positive

• T. Rowe Price reported an increase in AUM to $1.54 trillion by May 31, 2024.
• May 2024 saw net inflows of $6.7 billion.
• Equity assets rose to $790 billion from $762 billion in April 2024.
• Fixed income assets, including money market, rose to $180 billion from $169 billion in April 2024.
• Multi-asset assets increased to $524 billion from $506 billion in April 2024.
• Target date retirement portfolios increased to $447 billion from $432 billion in April 2024.

Negative

• Alternatives assets remained stagnant at $48 billion.
• Equity assets decreased to $790 billion from $803 billion at the end of Q1 2024.

Insights

Financial Analyst

T. Rowe Price Group's announcement of $1.54 trillion in assets under management (AUM) as of May 31, 2024, provides investors with essential insights into the company’s current financial health and market position. The $6.7 billion in net inflows, particularly significant in the institutional fixed income segment, signals robust investor confidence in the firm’s offerings.

For short-term investors, this positive growth trend indicates potential for appreciation in the stock price due to increased AUM, which typically leads to higher revenue from management fees. The consistency in the firm’s quarterly and yearly AUM, particularly in the multi-asset and target date retirement portfolios, demonstrates resilience and effective asset management strategies.

However, it's also important to note that the equity segment, despite its substantial size, showed a slight decline from the previous quarter. This could be indicative of market volatility or sector-specific challenges that might impact future growth.

Understanding the mix of asset classes is critical. The $180 billion in fixed income suggests a balanced approach, likely aimed at risk mitigation. Multi-asset portfolios, comprising $524 billion, highlight the firm’s diversified investment strategy, catering to a broader clientele including those seeking balanced risk-return profiles.

Market Research Analyst

Net inflows of $6.7 billion in May 2024, especially driven by a large institutional fixed income inflow, provide a positive sign for T. Rowe Price’s market penetration and appeal to institutional investors. This inflow is particularly noteworthy given the current market environment where fixed income assets are often seen as a safe haven.

For long-term investors, the stability in the alternatives segment at $48 billion might suggest that the firm has achieved a steady-state in this high-value asset class, which is often less volatile but provides steady returns. The increase in target date retirement products to $447 billion from $432 billion the previous month suggests strong traction in retirement planning products, which are typically sticky and provide sustained fee income over long periods.

The preliminary nature of these figures means they are subject to adjustment, but the solid growth across multiple asset classes indicates that T. Rowe Price is managing to attract new assets despite any market turbulence. Potential investors should keep an eye on how these adjustments play out in the final reporting, but the preliminary data points toward a favorable outlook.

BALTIMORE, June 12, 2024 /PRNewswire/ -- T. Rowe Price Group, Inc. (NASDAQ-GS: TROW), today reported preliminary month-end assets under management of $1.54 trillion as of May 31, 2024. Preliminary net inflows for May 2024 were $6.7 billion, including a large institutional fixed income inflow.

The below table shows the firm's assets under management as of May 31, 2024, and for the prior month-, quarter- and year-end by asset class and in the firm's target date retirement portfolios.

		As of
		Preliminary(a)
(in billions)		5/31/2024		4/30/2024		3/31/2024		12/31/2023
Equity		$            790		$            762		$            803		$            744
Fixed income, including money market		180		169		171		170
Multi-asset		524		506		520		483
Alternatives		48		48		48		48
Total assets under management		$         1,542		$         1,485		$         1,542		$         1,445
Target date retirement products		$            447		$            432		$            443		$            408

(a) Preliminary - subject to adjustment

About T. Rowe Price

Founded in 1937, T. Rowe Price (NASDAQ – GS: TROW) helps individuals and institutions around the world achieve their long-term investment goals. As a large global asset management company known for investment excellence, retirement leadership, and independent proprietary research, the firm is built on a culture of integrity that puts client interests first. Clients rely on the award-winning firm for its retirement expertise and active management of equity, fixed income, alternatives, and multi-asset investment capabilities. T. Rowe Price has $1.54 trillion in assets under management as of May 31, 2024, and serves millions of clients globally. News and other updates can be found on Facebook, Instagram, LinkedIn, X, YouTube, and troweprice.com/newsroom. 

 

View original content:https://www.prnewswire.com/news-releases/t-rowe-price-group-reports-preliminary-month-end-assets-under-management-for-may-2024-302170458.html

SOURCE T. Rowe Price Group

FAQ

What were T. Rowe Price's assets under management (AUM) as of May 31, 2024?

T. Rowe Price reported preliminary AUM of $1.54 trillion as of May 31, 2024.

What were T. Rowe Price's net inflows for May 2024?

T. Rowe Price experienced net inflows of $6.7 billion in May 2024.

How did T. Rowe Price's equity assets perform in May 2024?

Equity assets increased to $790 billion in May 2024 from $762 billion in April 2024.

What was the value of T. Rowe Price's fixed income assets in May 2024?

Fixed income assets, including money market, were valued at $180 billion in May 2024.

How much did T. Rowe Price's target date retirement portfolios grow in May 2024?

The target date retirement portfolios grew to $447 billion in May 2024 from $432 billion in April 2024.

Did T. Rowe Price’s alternatives assets change in May 2024?

No, alternatives assets remained unchanged at $48 billion in May 2024.