Business
Magellan’s twin wealth builders – The Australian Financial Review
Hamish Douglass at Magellan Financial Group keeps coming up with new ways to grow funds under management. His latest bold move will disrupt his core business.
“We know when we’re trading at 20 to 25 times earnings that buying stuff at 3.3 times with no integration risk is probably a fairly good use of shareholders’ funds,” he says.
For example, Magellan invested $105 million into two closed-end funds the Magellan Global Trust and the Magellan High Conviction Trust. The annualised base management fees from these funds is $45 million pre-tax.
Douglass says that translates to $31 million post-tax earnings, which is a 30 per cent return on the capital e…
-
Noosa News23 hours agoMeet Chad Burgess, Pauline Hanson’s One Nation Party
-
General22 hours agoTyler Wright soaks up Bells Beach return as poor conditions at Rip Curl Pro sees men’s opening round called off
-
Noosa News23 hours agoWestern Queensland graziers begin grim stock count after catastrophic floods
-
General22 hours agoTruck driver charged with causing death by dangerous driving after highway crash