T. Rowe Price's April AUM Balance Declines Sequentially

Core Viewpoint - T. Rowe Price Group, Inc. (TROW) reported a preliminary assets under management (AUM) of $1.56 trillion for April 2025, indicating a slight decrease from the previous month, alongside net outflows of $3.5 billion [1] AUM Performance Breakdown - As of the end of April, TROW's equity products amounted to $767 billion, showing a marginal decrease from the prior month [2] - Fixed income products, including money market, increased by 1% to $198 billion [2] - Multi-asset products totaled $545 billion, reflecting a slight increase from the previous month [2] - Alternative products remained stable at $53 billion compared to the prior month [2] - Target date retirement portfolios registered $485 billion, which saw a marginal rise from the previous month [3] Company Outlook - The company's diversified business model and ongoing efforts are expected to support top-line growth in the future, providing resilience amid market fluctuations [4] - However, the decline in AUM balance is viewed as discouraging, and there are concerns regarding the company's overdependence on investment advisory fees [4] Market Performance - Over the past six months, TROW shares have decreased by 17%, compared to a 9.4% decline in the industry [5] - T. Rowe Price currently holds a Zacks Rank of 4 (Sell) [7] Performance of Other Asset Managers - Franklin Resources, Inc. (BEN) reported a preliminary AUM of $1.53 trillion as of April 30, 2025, which decreased marginally due to long-term net outflows of $10 billion [8] - Virtus Investment Partners, Inc. (VRTS) announced a preliminary AUM of $163.7 billion as of April 30, 2025, down 2.2% from the previous month, primarily due to net outflows in various accounts [9]