Revenue for Q3 is $357.9m which is up $35.8m compared to the same period 12 months ago. A driver for this 11.1 per cent increase is a $9.1m rise in asset-based fees which includes ETFs and passive funds. To be more specific, $5m in revenue came from ETFs linked to MSCI indexes which is a result from the average ETFs AUM rising by 15.5 per cent.
AUM in ETFs Linked to MSCI Indexes:
Q3 2018 | Q2 2018 | Q3 2017 | |
Beginning Period AUM in ETFs linked to MSCI indexes | $744.7bn | $764.9bn | $481.4bn |
Market Appreciation/(Depreciation) | $15.6bn | $(19.4)bn | $91.6bn |
Cash Inflows | $5.2bn | $(0.8)bn | $101.3bn |
Period-End AUM in ETFs linked to MSCI indexes | $765.5bn | $744.7bn | $674.3bn |
The table shows how the market depreciated by $19.4bn in Q2 of this year. However the loses have been rectified following Q3's performance. An increase in market value and cashflow saw AUM rise by $21.8bn but resulted in the AUM being only $0.6bn higher than what it was six-months ago. The inflow of assets has been steadily decreasing every quarter since Q3 2017.