In morning trade the Netwealth Group Ltd (ASX: NWL) share price has pushed higher following the release of its latest quarterly business update.
At the time of writing the investment platform provider’s shares are up over 4% to $7.70.
What was in Netwealth’s update?
According to the release, during the quarter the company’s funds under administration (FUA) increased $2.3 billion or 10.8% quarter on quarter to $23.3 billion. This means the company achieved a $5.4 billion or 29.9% increase for the full year.
The release explains that it achieved FUA net inflows of $1.5 billion in the June quarter, with the remaining $0.8 billion increase due to favourable market movements. Total FY 2019 FUA net inflows came in at $4.3 billion.
On the table below, you can see how the company has progressed over the last 12 months.
The solid growth in FUA this year means that Netwealth has grown its market share from 2.3% to 2.5%.
This makes it the ninth-largest platform provider (in FUA terms) behind the likes of IOOF Holdings Limited (ASX: IFL), AMP Limited (ASX: AMP), and the market leader Westpac Banking Corp (ASX: WBC) through its BT business.
But whilst it may trail these competitors in total FUA, its net funds flows increase of $4.3 billion over the 12 months to March 31 was the biggest in the industry by a decent margin.
And with the company launching Challenger Ltd (ASX: CGF) annuities on its platform last month and its platform continuing to grow in popularity and rate highly with users, management appears confident that its solid growth can continue at the expense of some of the bigger players which continue to give up market share.
If you like Netwealth then you should check out these top growth shares that have been rated as buys.
Our Motley Fool experts have just released a brand new FREE report, detailing 5 dirt cheap shares that you can buy today.
Stock #1 is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…
Stock #2 is another high-growth business trading near a 52-week low all while offering a 4.7% grossed-up yield…
Plus 3 more cheap bets that could position you to profit over the next 12 months!
See for yourself now. Simply click the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.
- Why Altium, Netwealth, Resolute, & Whitehaven Coal stormed higher today
- The latest 3 ASX 200 stocks to be downgraded by leading brokers
- HUB24 share price hammered after responding to media reports
- Why the Praemium share price closed ~3% higher yesterday
- How these two small caps are besting Macquarie Group and friends
James Mickleboro owns shares of Westpac Banking. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Hub24 Ltd. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. The Motley Fool Australia owns shares of Netwealth. The Motley Fool Australia has recommended Hub24 Ltd. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
The Motley Fool’s purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool’s free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2019