ASX:AEF
Australian Ethical Investment Ltd
Investment Summary
The fund managers believe that Australian Ethical Investment Ltd is well-positioned for growth. They note that AEF performed positively, driven by renewed market confidence after Barrenjoey Capital Partners initiated a "BUY" rating with a target price of $6.70. In their opinion, the company is executing effectively, transitioning from funds management to superannuation, which is driving sustainable funds under management (FUM) growth. Milford Asset Management highlighted a 24.8% increase in share price for AEF, emphasizing its long-standing reputation as one of the oldest ethical fund managers in Australia. They pointed out that AEF has consistently grown FUM, recently achieving a 29% FUM growth that demonstrates strong operating leverage. Overall, the consensus indicates a positive outlook for AEF, particularly as it capitalizes on ethical investing trends.
Commentary From The Managers
Milford Asset Management
28 Feb 2025
$6.23
- Milford Asset Management continues to hold Australian Ethical Investment Ltd due to its positive performance of +24.8% over the month.
- Australian Ethical is recognized as one of the oldest and longest standing ethical fund managers in Australia.
- The firm primarily attracts investors directly, with a significant focus on superannuation.
- Australian Ethical has consistently grown its funds under management (FUM) in recent years.
- The company recently demonstrated strong operating leverage with 29% FUM growth.
Clime
31 Dec 2024
$5.38
- AEF performed positively in December, driven by renewed market confidence.
- Barrenjoey Capital Partners initiated a "BUY" rating with a target price of $6.70.
- Previously dropped from coverage during COVID-19 due to a sharp decline in share price.
- Inflation concerns had impacted AEF significantly.
- AEF is executing well, transitioning from funds management to superannuation.
- This transition is driving sustainable funds under management (FUM) growth.
- Further upside to its bottom line is anticipated as a result of successful execution.
- Clime continues to hold because of AEF's potential for growth in a recovering market.
Please note: The completeness, accuracy or current status of the investments referenced are not guaranteed.