Bullish IOOF promises expansion and dividends to investors
Financial services company IOOF says its funds under management lifted by 3.7 per cent in the September quarter, as it attracted more client money than it lost for the first time in years.
And fresh from agreeing to buy a stake in trustee company Equity Trustees, IOOF has flagged further interest in acquiring companies involved in charitable foundations, compensation trusts, deceased estates and native title administration.
Speaking at the company's annual meeting, chairman Roger Sexton said IOOF would continue its practice of distributing between 60 per cent and 90 per cent of full-year underlying net profit after tax to shareholders as dividends.
Dr Sexton told shareholders the recent rise in its investment management division to $124.7 billion meant more client money was invested with IOOF during the year than was withdrawn for the first time since 2009.
"Key factors in achieving this organic growth have been our continued focus on providing excellent service to advisers and their clients and a strategic decision taken to increase awareness of the IOOF brand in Australia," he said. IOOF shares have outperformed the sharemarket rally that started late last year.
Votes on IOOF's remuneration report, the granting of 100,000 performance rights to MD Christopher Kelaher, and the re-election of directors Jane Harvey and Kevin White were also approved.