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

Rhea-AI Summary

T. Rowe Price Group (NASDAQ-GS: TROW) reported preliminary month-end assets under management of $1.63 trillion as of September 30, 2024. The company experienced preliminary net outflows of $4.9 billion for September 2024 and $12.2 billion for the quarter-ended September 30, 2024. Quarterly net flows include $0.8 billion of Manager-driven distributions.

The firm's assets under management breakdown as of September 30, 2024:

• Equity: $832 billion
• Fixed income, including money market: $186 billion
• Multi-asset: $561 billion
• Alternatives: $52 billion
• Target date retirement portfolios: $482 billion

T. Rowe Price will release Q3 2024 earnings on November 1, 2024, at 7:00 AM ET, followed by an earnings call from 8:00 - 8:45 AM ET.

Positive

• Total assets under management increased to $1.63 trillion as of September 30, 2024, up from $1.57 trillion on June 30, 2024
• Equity assets under management grew to $832 billion from $810 billion in the previous quarter
• Target date retirement portfolios increased to $482 billion from $453 billion in the previous quarter

Negative

• Preliminary net outflows of $4.9 billion for September 2024
• Quarterly net outflows of $12.2 billion for the quarter-ended September 30, 2024

Insights

Financial Analyst

T. Rowe Price's latest AUM report shows a mixed picture. The firm's total AUM increased to $1.63 trillion as of September 30, 2024, up from $1.57 trillion at the end of Q2 2024. This 3.9% quarterly growth is positive, indicating overall market gains and potentially some new inflows.

However, the firm experienced net outflows of $4.9 billion in September and $12.2 billion for Q3 2024. These outflows are concerning, as they suggest clients are withdrawing funds at a significant rate. The outflows could impact future revenue and profitability if the trend continues.

On a positive note, the target date retirement portfolios grew to $482 billion, up 6.4% from Q2. This growth in a key product line is encouraging and may help offset some of the outflows in other areas.

Investors should watch for more details in the upcoming Q3 earnings release to better understand the drivers behind these outflows and the company's strategy to address them.

Market Research Analyst

The asset management industry is facing challenges and T. Rowe Price's report reflects these trends. Despite overall AUM growth, the persistent outflows are a red flag. The $12.2 billion in quarterly outflows represents about 0.78% of starting AUM, which is significant for a large asset manager.

Interestingly, equity AUM grew by 2.7% over the quarter, outpacing the S&P 500's performance. This suggests T. Rowe's equity strategies may be outperforming or benefiting from sector allocation. The multi-asset category, which includes target-date funds, showed the strongest growth at 6% for the quarter.

The continued growth in target-date retirement portfolios is a bright spot, as these products often have "stickier" assets and provide steady fee income. However, the overall outflows indicate T. Rowe Price may be losing market share to passive investment options or facing increased competition from other active managers.

Investors should compare these results with peers to gauge T. Rowe's relative performance in the challenging asset management landscape.

BALTIMORE, Oct. 10, 2024 /PRNewswire/ -- T. Rowe Price Group, Inc. (NASDAQ-GS: TROW), today reported preliminary month-end assets under management of $1.63 trillion as of September 30, 2024. Preliminary net outflows were $4.9 billion for September 2024 and $12.2 billion for the quarter-ended September 30, 2024. Preliminary quarterly net flows include $0.8 billion of Manager-driven distributions.

The below table shows the firm's assets under management as of September 30, 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)		9/30/2024		8/31/2024		6/30/2024		12/31/2023
Equity		$            832		$            825		$            810		$            744
Fixed income, including money market		186		183		180		170
Multi-asset		561		553		529		483
Alternatives		52		51		50		48
Total assets under management		$         1,631		$         1,612		$         1,569		$         1,445
Target date retirement portfolios		$            482		$            474		$            453		$            408
(a) Preliminary - subject to adjustment

Q3 2024 Earnings Release and Earnings Call

T. Rowe Price will release Q3 2024 earnings on Friday, November 1, 2024 at 7:00 AM ET. The company will host an earnings call from 8:00 - 8:45 AM ET that day. To access the webcast and accompanying materials, visit the company's investor relations website at: investors.troweprice.com.

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 serves millions of clients globally and manages $1.63 trillion in assets under management as of September 30, 2024. About two-thirds of the assets under management are retirement-related. 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-september-2024-302272896.html

SOURCE T. Rowe Price Group

FAQ

What were T. Rowe Price's (TROW) assets under management as of September 30, 2024?

T. Rowe Price reported preliminary month-end assets under management of $1.63 trillion as of September 30, 2024.

How much were T. Rowe Price's (TROW) net outflows for September 2024?

T. Rowe Price reported preliminary net outflows of $4.9 billion for September 2024.

What was T. Rowe Price's (TROW) equity assets under management as of September 30, 2024?

T. Rowe Price's equity assets under management were $832 billion as of September 30, 2024.

When will T. Rowe Price (TROW) release its Q3 2024 earnings?

T. Rowe Price will release Q3 2024 earnings on Friday, November 1, 2024 at 7:00 AM ET.