The Pendal Group Ltd (ASX: PDL) share price may swing up on its March 2021 quarter update. The Pendal share price has started strongly, can it keep going north?
Pendal share price
Pendal achieves solid growth
Pendal advised its funds under management (FUM) for the March 2021 quarter is at $101.7 billion, rising by 4.4%.
The company recorded strong investment performance, which contributed $2.5 billion. Pendal also benefited from the depreciation of the Aussie dollar against key currencies, resulting in a positive impact of $0.9 billion.
Pendal achieved positive inflows of $0.9 billion, mainly due to improved net flows across the UK and Europe.
Nick Good, the CEO of Pendal, highlighted that it was able to capitalise on the recent market rotation from growth to value.
The CEO sounds optimistic about Pendal’s position to take advantage of improved economic conditions in the future.
Is Pendal a one-way pendulum?
Nick Good’s comment about the shift in market sentiment towards value is encouraging. Why so?
I believe his comment is an indicator of Pendal’s measured and disciplined investment approach.
Such an approach aligns with one key principle of the Rask Investment Philosophy, that the stock market is a vehicle for transferring wealth from the impatient to the patient.
Investors should consider whether this green patch in the market is sustainable and how Pendal’s investment philosophy stands up in a bear market.