Australian Ethical (ASX:AEF) share price hits new high on record quarterly inflows

A record quarter sees the wealth manager hit a record high.

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The Australian Ethical Investment Limited (ASX: AEF) share price has a new record high.

The positive price movement comes as the wealth management company announced an 8% increase in funds under management (FUM) to a record $6.54 billion.

At the time of writing, shares in the company are trading for $12.07 – up 1.26%. Earlier, shares hit an intraday (and all-time) high of $12.14. For context, the S&P/ASX 200 Index (ASX: XJO) is 0.28% higher.

Let's take a closer look at today's news.

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Why the Australian Ethical share price is in the spotlight

In a statement to the ASX, Australian Ethical says a record quarter of $160 million coming into the business has allowed it to meet this new record. It says this was mostly driven by higher value members rolling over their investments.

Investors are keen on these numbers, judging by the rising Australian Ethical share price.

In total, $1.96 billion are under managed funds, $380 million are institutional, and $4.21 billion is in superannuation funds under management.

The company says these key milestones "demonstrate positive momentum" regarding its growth strategy. It goes on to say particular metrics it is being given a vote of confidence in are "brand awareness, engagement with advisers, and enhancing the customer experience".

Australian Ethical has over 70,000 funded customers – 60,000 through superannuation and about 10,000 managed fund investors.

Company profile

Australian Ethical Investments is an Australian wealth management company that invests according to its own strict ethical charter. It focuses on what it deems ethical sectors such as healthcare, IT, and education whilst avoiding industries such as gambling, tobacco, and fossil fuels.

The company was established in 1986 and regards itself as Australia's leading ethical funds manager. It boasts an award-winning investment team that carefully evaluates prospective investments firstly under the company's ethical charter and then using traditional risk/return investment analysis.

Australian Ethical share price snapshot

Over the past 12 months, the Australian Ethical share price has increased 160%. Year-to-date, shares in the company have appreciated 143%.

Its previous 52-week high was $11.97 and its 52-week low is $4.10.

Australian Ethical Investments has a market capitalisation of about $1.3 billion.

Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Australian Ethical Investment Ltd. The Motley Fool Australia has recommended Australian Ethical Investment Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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