ASX:MFGCapital Markets
Magellan Financial Group (ASX:MFG) Shares Sink As Fee Compression Deepens
Magellan Financial Group closed at A$9.05 after a tough week that left the stock down roughly 14% over seven days and slightly weaker over the month. The market is clearly focused on pressure rather than promise. The headline from these full year results is the squeeze on the core investment management engine as fee revenue and earnings feel the impact of heavy fund outflows and lower average fee rates.
In the short term, that profit compression is what traders are reacting to. In the longer...