Ann: Institutional Inflow, page-11

Just to clarify AEF are at $2.13bn FuM, the $128m mandate is 6% of FuM (per their latest market release). Aust Catholic Super are $7bn the mandate being 1.8%.

I can't see the Catholics giving any more funds to AEF as they will be restricted about how much they can give to each manager. It does show that AEF are finally leveraging their great investment performance into the insto sector. Although the downside is that their tight ethical screens would be a turn-off for most large Super funds.

The big question is at what price did they do the deal? These type of mandates are typically between 0.40% and 0.80% which would be revenue (and profit) accretive around $600k pa. Not bad given the small profit numbers they are generating. At the current PE of 51 (absolutely crazy) that should be pushing the price up by around $30. But then they are at a crazy PE as everyone has baked in the FuM growth already.