Invesco Ltd · NYSE:IVZ
Invesco — Sandler O'Neill Global Exchange and Electronic Trading Conference 2008
20 slides from Invesco's conference presentation, Jun 6, 2008
Slide 1: Invesco at Sandler O'Neill Global Exchange and Electronic Trading Conference
Invesco Sandler O’Neill Global Exchange and Electronic Trading Conference June 6, 2008 Colin Meadows, CAO
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may include statements that constitute "forward-looking statements" under the United States securities laws. Forward-looking statements include information concerning possible or assumed future results of our operations, earnings, liquidity, cash flow and
Slide 3: Who We Are
Who We Are A global leader in investment management Mission: Helping people worldwide build their financial security We’re one of the world’s leading independent global investment management firms. We draw on the strength of many resources: — $470.3 (U.S.) billion in assets under management — Cl
Slide 4: 2007-2008 Summary Industry Trends
2007-2008 Summary Industry Trends We Identified A Set of Key Trends That Appear To Be Shaping The Future of Our Industry Shifting Demographics… ageing population in developed world increasing focus on retirement assets Total Relationship Focus… sophisticated global distributors looking at multip
Slide 5: Our Strategic Priorities
Our Strategic Priorities The Markets Are Global and So is Our Company 1 Achieve strong investment performance 4 Build a high- 2 Deliver our investment performance Our Aspiration: capabilities anywhere organization Take advantage of in the world to meet our world of opportunity client needs to become
Slide 6: The Value We Deliver to Our Clients
The Value We Deliver to Our Clients 1 Commitment to investment excellence Clearly articulated investment disciplines aligned with client expectations and underpinned by diligent oversight and rigorous quality control processes 2 Specialized investment expertise globally Distinctive investment teams
Slide 7: Commitment to Investment Excellence
Commitment to Investment Excellence A focus on delivering investment quality is inherent to our mission. Achieving strong investment performance is our top strategic priority. Our operating structure puts investments at the heart of our activity for the benefit of our clients. We’re dedicate
Slide 8: Specialized Investment Capabilities Globally
Specialized Investment Capabilities Globally Investment management team network Each of Invesco’s investment centers adheres to clearly defined investment strategies and philosophies intended to align with client expectations. Harnessing the distinct expertise at each center, Invesco’s teams draw on
Slide 9: Invesco Delivers Investment Strategies That Meet Our Clients' Diverse Needs
Invesco Delivers Investment Strategies That Meet Our Clients’ Diverse Needs Diversified Investment Strategies Equity Alternatives • Market cap • Real Estate • Investment style – Public real estate securities • Global/regional/single – Private direct real estate country – US, Asian, European, Global
Slide 10: Strength Through Diversification – AUM By Asset Classes
Strength Through Diversification – AUM By Asset Classes December 31, 2005 AUM – $386.3B March 31, 2008 AUM – $470.3B Alternatives Alternatives 5% Stable Value 13% 12% Stable Value 6% Fixed Income 13% 46% Fixed 8% Income 46% Equities Equities 13% Money Money 19% 11% Market Market 8% Balanced Balanced
Slide 11: Strength Through Diversification – AUM By Channels
Strength Through Diversification – AUM By Channels December 31, 2005 AUM – $386.3B March 31, 2008 AUM – $470.3B High Net Worth High Net Worth 4% 3% Institutional* Institutional* 47% 49% 48% Retail** 49% Retail** 2005-08 change Institutional $179.8B Institutional $224.8B 25% Retail $190.2B Retail $22
Slide 12: Strength Through Diversification – AUM By Client Domicile
Strength Through Diversification – AUM By Client Domicile December 31, 2005 AUM – $386.3B March 31, 2008 AUM – $470.3B Asia Asia Canada 5% Canada 7% 11% 9% Europe Europe 7% 8% United United States States 62% United 17% United 14% 60% Kingdom Kingdom 2005-08 change United States $235.6B United States
Slide 13: A Leader in Global Investment Management
A Leader in Global Investment Management Large U.S.-Based Asset Managers With Global Client Bases Share of Client Assets From Outside the U.S. As of Year-End 2007 Lazard Invesco Invesco AIG Barclay's J.P. Morgan Alliance Bernstein Goldman Sachs BlackRock State Street Global Western Asset Franklin Te
Slide 14: Invesco is positioned to capture assets in key markets
Invesco is positioned to capture assets in key markets Top 10 Markets with Highest Projected Assets Available to Outside Managers 2006–2011 Country 2011 AUM(E) CAGR (E) Invesco Presence** $34,866 8.9% $6,510 8.9% $2,116 11.3% $1,877 6.8% ($ billions) $1,804 8.7% $1,669 6.2% $1,630 8.9%
Slide 15: Annual Long-Term and Institutional Money Market Flows
Annual Long-Term and Institutional Money Market Flows Annual Long-Term Flows ($ billions) Growth in Institutional Money Market ($ billions) Gross sales Gross redemptions Net sales 90 30 80.7 119.9 80 74.4 110 25 85.8 70 66.3 60.6 60 60 20 20.8 47.8 50 10 12.8 10.6 15 40 -$1.4 -$3.4 -$8.4 9.6 -40 -$1
Slide 16: Investment Performance – Overview
Investment Performance – Overview Asset Weighted 3-Year Performance March 31, 2008 December 31, 2007 Includes rated AUM of $358.8bn Includes rated AUM of $380.0bn Above Above Benchmark Benchmark 1Qtl and 2Qtl 1Qtl and 2Qtl 72% 70% Below Below Benchmark Benchmark 3Qtl or 4Qtl 3Qtl or 4Qtl 28% 30% Rat
Slide 17: Improving Operating Results
Improving Operating Results Assets and Flows IVZ % Change (06/30/05 – 03/30/08) 175% 150% 125% 100% 75% 50% 25% 0% 2005 2006 2007 Assets under management and Net Flows ($ billions) Operating income ($ millions) Net Operating margin* (%) 994 36.0 35.9 550 32.5 500 759 500 463 470 23.0 450 408 400 386
Slide 18: Well Positioned for Growth
Well Positioned for Growth Invesco is a strong global firm We are building real momentum in terms of: — Investment performance — Assets and flows — Business performance Delivering the combined power of our distinctive worldwide investment management capabilities adds substantial value for our
Slide 19: Questions & Answers
Questions & Answers Sandler O’Neill Global Exchange and Electronic Trading Conference June 6, 2008 Colin Meadows, CAO
Slide 20: Schedule of Non-GAAP Information
Schedule of Non-GAAP Information 1Q08 2007 2006 2005 ($ Millions) Operating revenues, GAAP basis $910.4 $3,878.9 $3,246.7 $2,872.6 Third-party distribution, service and advisory costs (247.1) (1,051.1) (826.8) (706.0) Proportional share of revenues, net of third-party distribution fees, from joint v
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