NZ Fund Managers

[Snoopy]

Check out those margins...npat as a % of revenue - 40% across both years (more or less). Not gross profit margin, EBITDA, not EBIT, not PBT margin....but good old fashioned statutory npat as a % of revenue.

don't think i've ever seen a business with such high margins.

bugger all capex, bugger all working capital....the perfect cashflow business. all npat paid out as dividends.

losing kiwisaver default will hurt - will be interesting to see how much default FUM transfers out.

Yes the 'Net Profit Margin' at Fisher Funds is certainly eye-watering. But in any industry where you use other peoples money 'off the books' to generate your income, your 'net profit margin' is going to look impressive. Whether it is out of line with other market players is something I am trying to determine.

Kiwi Wealth is publicly owned, for now. I have found the annual report from the point of view of the individual funds, but not from the point of view parent management company. If anyone can find where that 'public' management firm information might be, I would love to fill in the gaps in the table below. (Edit: Thanks to Haumi, post 17, who tracked down the missing information!)

FY2021 Comparison	Fisher Funds	Kiwi Wealth	Milford Funds Limited
NPAT {A}	$49.778m	$11.961m	$11.726m
Fee Income (B}	$125.906m	$51.908m	$162.710m
Net Profit Margin {A}/{B}	39.5%	23.0%	7.21%

References

1/ Kiwi Wealth https://www.kiwiwealth.co.nz/assets/...ments-2021.pdf, https://www.fma.govt.nz/assets/Repor...er-AR-2021.pdf, https://app.companiesoffice.govt.nz/...4E226E1FFDC7AA
2/ Fisher Funds https://app.companiesoffice.govt.nz/...9381175A8E7B22
3/ Milford Funds Limited https://app.companiesoffice.govt.nz/...49ACF3BF8AD107

SNOOPY