Praemium (ASX:PPS) Q4 FY2025 Update

Praemium (ASX:PPS)

Praemium reports its funds and flows for the quarter to 30 June 2025. All figures are unaudited.
Total funds under administration (FUA) of $64.3 billion (30 June 2024: $57.4 billion, up 12%).
Praemium’s next generation IDPS Spectrum achieved quarterly net inflows of $339 million, resulting in FUA of $2,380 million for the quarter, including the transition of $1,489m assets from OneVue.
» Platform $30.7 billion (30 June 2024: $28.1 billion, up 9%)
• Spectrum $2.4 billion
• Separately Managed Accounts (SMA) $12.9 billion (30 June 2024: $11.3 billion, up 14%)
• Powerwrap $13.4 billion (30 June 2024: $12.7 billion, up 6%)
• OneVue $2.0 billion (30 June 2024: $4.1 billion, down 51% due to the transfer of assets to
Spectrum, Scope & SMA)
» Quarterly net inflows $152 million (excluding OneVue) (quarter to 31 March 2025: net inflows of $494
million)
• Spectrum net inflows of $339 million (quarter to 31 March 2025: $440 million)
• SMA net inflows $64 million (quarter to 31 March 2025: $120 million)
• Powerwrap net outflows $251 million (quarter to 31 March 2025: net outflows of $66 million)
» Cash management account holdings
• Spectrum $268 million (11.3% of FUA)
• SMA $713 million (5.5% of FUA)
• Powerwrap $561 million (4.2% of FUA)
• OneVue $293 million (14.9% FUA)
» Scope+ non-custodial Portfolio Administration and Reporting Service $33.6 billion (30 June 2024: $29.3 billion, up 15%).

Net movement for the quarter to 30 June 2025 included $708 million in positive market movement. This represents approximately 2.3% of the value of Platform FUA at 30 June 2025.

Praemium CEO Anthony Wamsteker made the following comments about the quarter:

“The June quarter was noteworthy for continuing strong inflows to our recently launched IDPS solution - Spectrum. We are pleased with the sales pipeline and ongoing interest in this product. Spectrum has closed the product gap which we believe was preventing us from achieving the full potential of our high quality technology offering.

The Praemium SMA scheme has traditionally been our cornerstone product and highest revenue margin service. It achieved quarterly net inflows of $64 million. In the financial year to 30 June 2025, net inflows of $610 million represented approximately 5% of opening FUA.

OneVue added FUA $4.1 billion at acquisition, decreasing slightly to $4.0 billion at 31 March 2025, then to $2.0 billion following the transfer of $1.7 billion to our growth products ($1.5b to Spectrum, $0.2b to Scope and $0.03 b to SMA). Praemium is pleased that the technology and product transition has progressed to the point where almost 50% of the FUA has moved to Praemium product and technology. The balance of the FUA transition is progressing to plan.

Powerwrap experienced outflows for this quarter. Gross outflows from transitioning advisers were just over $0.7 billion for the year to June 2025 (following just over $1.0 billion in the prior financial year). The rate of outflow from transitioning advisers slowed materially in the second half of FY25, albeit one large client transition occurred late in the year and increased the June outflow number.

Continued growth in FUA for Scope+ highlights our market leading capability and we have a strong pipeline in place for both Scope and Scope+. The strength of these non-custodial services is assisting in keeping our sales pipeline healthy, including for our two main custodial offerings, Spectrum and SMA.

We remain confident in our growth prospects and see positive indications that our gross inflows can increase over time. Obviously, our business wide net flows have been negatively impacted by gross outflows being relatively high over the past two financial years. In considering this trend, we note that in the absence of the outflows from transitioning advisers ($1.8 billion) and OneVue, the gross outflows are much closer to the market average for custodial platforms. As such, we expect more of our gross inflows to translate into net flows than has been the case recently.”

About us:

Praemium is the leading investment platform in Australia, catering to the emerging and established HNW investor market. Servicing Private Wealth firms, intermediaries, and some of the world’s largest financial institutions, Praemium offers access to a comprehensive suite of investment solutions which cater for all investor structures.

Contact details:

For further information contact
Anthony Wamsteker, CEO
Ph: 1800 571 881