Regal Partners' FUM Climbs to $18 Billion on Record Inflows and Strategic Acquisitions

Robust Growth in Funds Under Management

Regal Partners Limited (ASX:RPL) has reported a solid increase in its funds under management (FUM), reaching $18.0 billion as of December 31, 2024. This marks a 4.6% rise from the $17.2 billion recorded at the end of September 2024, confirming the preliminary estimate the company announced earlier in January. Over the full calendar year, Regal’s FUM surged by an impressive 64%, a growth fueled by a combination of strong net inflows, positive investment returns, and strategic acquisitions.

Record Net Inflows and Diverse Asset Strategies

The December quarter was particularly notable for record net inflows totaling $720 million. These inflows were broad-based, spanning multiple asset classes and funds. Key contributors included Taurus Funds Management, which secured over $100 million from a US State Pension investor, with an additional $200 million in binding commitments pending. Kilter Rural attracted initial investments from a top 10 global sovereign wealth fund, while the Regal Partners Private Fund and the Regal Investment Fund (ASX:RF1) also saw significant capital raising activity.

Across the year, long/short equities attracted $1.1 billion in net inflows, supported by both Regal Funds Management and PM Capital. Multi-strategy funds garnered $0.5 billion, reflecting strong demand for the newly launched Regal Partners Private Fund and the RFI raising in the final quarter. Credit and royalties, along with real and natural assets, also experienced solid inflows, underscoring the diversified appeal of Regal’s investment offerings.

Strategic Acquisitions Bolster Scale and Capabilities

Regal’s growth story is further enhanced by its acquisitions in July 2024 of 100% of Merricks Capital and a 40% stake in Argyle Group. These deals added approximately $4.3 billion in FUM, reflected in the company’s 'Other' category. Excluding these acquisitions, Regal still achieved a robust 25% organic growth in FUM over the year, highlighting strong underlying investor demand and performance.

Outlook and Market Position

With a track record spanning over two decades and a team of around 190 staff including 95 investment professionals, Regal Partners is well positioned as a leading specialist alternatives investment manager in Australia and Asia. The company’s broad suite of strategies, covering long/short equities, private markets, real and natural assets, and credit and royalties, continues to attract institutional, family office, and private investors alike.

Regal is set to provide further insights into its performance and strategic direction in its upcoming 2024 full-year results announcement scheduled for February 26, 2025. Investors will be keen to see how the company plans to sustain momentum amid evolving market conditions and competitive pressures.