Platinum Asset Management

Last updated

Platinum Asset Management
Type Public
ASX:  PTM
S&P/ASX 200 component [1]
S&P/ASX 300 component [2]
Industry Investment management
Founded1994;30 years ago (1994)
Founders Kerr Neilson
Andrew Clifford
Elizabeth Norman
Toby Harrop
Headquarters
7 Macquarie Place, Sydney, New South Wales
,
Key people
Andrew Clifford (CEO)
Products Mutual Fund
Hedge fund
Listed investment company
UCITS
RevenueDecrease2.svgA$252.67 million (FY 2022)
Decrease2.svgA$101.49 million (FY 2022)
AUM Decrease2.svgA$17 billion (Q3 2022)
Total assets Decrease2.svgA$349.76 million (FY 2022)
Total equity Decrease2.svgA$323.56 million (FY 2022)
Number of employees
110 (Q2 2021)
Website platinum.com.au
Footnotes /references
[3] [4]

Platinum Asset Management is an Australian asset management company. It has been publicly traded on the Australian Securities Exchange since 2007. [5] It is a constituent member of both the S&P/ASX 200 and S&P/ASX 300 indexes. In 2015, it was ranked as the largest hedge fund group in Australia as well as the second largest in Asia-Pacific. [6]

Contents

It has two investment companies listed on the Australian Securities Exchange which are Platinum Capital Limited (ASX :  PMC) and Platinum Asia Investments Limited (ASX :  PAI). In addition it has two listed funds which are Platinum International Fund (ASX :  PIXX) and Platinum Asia Fund (ASX :  PAXX). [7]

History

In 1994, Platinum Asset Management was founded by Kerr Neilson and several others with the financial backing of George Soros. [8] It was founded as a specialist company in international equities.

The success of the company was attributed to the ability to transcend short-term market investment and focus on long-term returns. [9] Its strongest performance came between 2000 and 2002. [10]

In 2007, Platinum Asset Management went public and was listed on the Australian Securities Exchange under the ticker: 'PTM'. [5]

Poor results during the 2012 financial year resulted in a 16 per cent fall in net profit, mainly due to a 14 per cent reduction in investment income. As a result, Neilsen agreed to forego a performance bonus, an increase in his base salary, and neither granted himself nor exercised options. [11]

In 2018, Neilson stepped down as chief executive officer and was replaced by Andrew Clifford who was another co-founder of the company. [10] [12] In November 2022, Neilson resigned from his position at the company's board of directors although he still remained the company's largest shareholder. [13]

In February 2023, Neilson called for Clifford to resign citing the firm's poor performance and how Clifford shouldn't hold the role of both CEO and CIO simultaneously. [14] In August that year, the board of directors announced that Clifford would step down from his role as CEO once a successor was found although he would remain as CIO. [15]

On 8 September 2023. shares of Platinum Asset Management hit a record low of A$1.335 after more than A$900 million was pulled from its funds in August. According to a report by Barrenjoey Capital Partners, the company was in "severe organic decay". [16]

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References

  1. "ASX 200 List of Companies - Directory". www.asx200list.com.
  2. "ASX 300 List - Data for ASX Top 300 Companies". www.asx300list.com.
  3. "Annual Report 2022" (PDF). Platinum Asset Management.
  4. "About Platinum - Platinum Asset Management". www.platinum.com.au.
  5. 1 2 "Platinum Asset Management shines on ASX". The Sydney Morning Herald. 23 May 2007.
  6. "Asian hedge funds surpass pre-crisis peak". www.fundsglobalasia.com. Retrieved 2 July 2023.
  7. "Platinum Asset Management Ltd, PTM:ASX profile - FT.com". markets.ft.com. Retrieved 16 April 2021.
  8. "Taking a punt proves Platinum's mettle". The Age. 28 December 2003. Retrieved 16 April 2021.
  9. "Platinum's Kerr Neilson: it's all about the price". Firstlinks. 25 February 2018. Retrieved 16 April 2021.
  10. 1 2 "Platinum Asset Management". thehedgefundjournal.com. Retrieved 2 July 2023.
  11. Evans, Michael (17 August 2012). "Neilson axes bonus after hit at Platinum". The Sydney Morning Herald. Retrieved 1 September 2012.
  12. Stewart, Tim (22 February 2018). "Platinum's Kerr Neilson steps down as CEO". www.investordaily.com.au. Retrieved 16 April 2021.
  13. "Sharemarket addict Kerr Neilson farewells Platinum". Australian Financial Review. 16 November 2022. Retrieved 8 September 2023.
  14. "Kerr Neilson says Platinum CEO Clifford must go". Australian Financial Review. 19 February 2023. Retrieved 8 September 2023.
  15. "Why Andrew Clifford and David George are the last rock star CIOs". Australian Financial Review. 27 August 2023. Retrieved 8 September 2023.
  16. "Platinum in 'severe organic decay' after $900m of outflows". Australian Financial Review. 8 September 2023. Retrieved 8 September 2023.