Here's why BTT Investment Management Ltd soared today

BT Investment Management Ltd (ASX:BTT) has posted a strong start to 2015.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Investment manager BT Investment Management Ltd (ASX: BTT) jumped 7% to $10.38 today after posting some exceptional growth in funds under management (FUM) for the quarter ending March 31, 2015. Indeed, this might not have come as a surprise to some investors given the bullish start to 2015 for global equity markets.

The group's FUM at the end of the period was $77.1 billion, which is a healthy increase over the $70 billion recorded just three months earlier. The approximate 10% rise in FUM was almost matched by today's 7% share price rise as the net flow increase means BT Investments can expect a significant lift in annualised fee income.

Although the announcement is short on detail the majority of the FUM growth appears to have come from the open-ended investment companies (OEICs) and mutual funds BT likely runs internationally across differing asset classes.

The business is still majority owned by Westpac Banking Corporation (ASX: WBC) and has been steadily growing on the back of a strategy primarily based around growing into international markets.

Today's news suggests the strategy is starting to pay dividends as the stock touches record highs. The other salient factor is the ongoing strength of global equity markets, which are probably also supporting the shares prices of other global money managers like Macquarie Group Ltd (ASX: MQG) and Magellan Financial Group Ltd (ASX: MFG).

BT Investment's exceptional start to the year means it looks a stock to keep a close eye on.

Motley Fool contributor Tom Richardson owns shares in Magellan and Macquarie Group. You can find him on Twitter @tommyr345  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 policyThis article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

A white and black robot in the form of a human being stands in front of a green graphic holding a laptop and discussing robotics and automation ASX shares
Technology Shares

Joining the revolution: How I'd invest in ASX AI shares right now

Advances in artificial intelligence (AI) could usher in a new industrial revolution. Here’s how you can invest in it.

Read more »

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »