Praemium : Quarterly Results March 2018

Record annual inflows drives FUA past $8 billion

12 July 2018, Melbourne: Praemium is pleased to report continuing strong platform inflows in the June 2018 quarter, with key milestones of:

Combined quarterly gross inflows of $760 million, the third highest on record

• • 34% higher than the prior year's corresponding period;

• • Australian gross inflows of $566 million, the third highest on record;

• • International gross inflows of $194 million, the fourth highest on record;

Record annual gross inflows of $3.0 billion, 50% higher than the prior financial year; and Funds under administration (FUA) up 35% on last year to $8.3 billion.

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Gross Inflows

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14, 14, 14, 14, 15, 15, 15, 15, 16, 16, 16, 16, 17, 17, 17, 17, 18, 18, Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

Business Update

The June 2018 quarter included a number of key client wins or client renewals, with:

•  Morgan Stanley Wealth Management selecting Praemium's SMA platform to run its managed accounts solution, commencing in July 2018;

•  Regulatory approval being received for Praemium to sell its Smartfund range of funds directly to the United Arab Emirates (UAE) markets, with Mashreq Bank, one of the largest UAE banks as the local promoter;

•  Praemium signing a 5-year contract with CMC Markets Stockbroking Ltd to provide Portfolio based reporting solutions; and

•  Praemium signing a 2-year extension with JBWere to continue to provide portfolio technology solutions to their wealth management operations.

Client wins have continued into the new financial year with Hartleys Limited, a leading broking and wealth management firm, signing up to Praemium's reporting and administration software to manage its client portfolios from July 2018. The Company continues to see a growing pipeline of Portfolio and SMA opportunities that will underpin growth into future periods.

Praemium CEO Michael Ohanessian commented, "The June quarter was a standout for key client wins to both our portfolio reporting software and SMA investment platforms. It is a strong validation of our market-leading capabilities in technology and product breadth, but also our continuing investment in product, sales & marketing, which is clearly delivering results. We are particularly pleased with the record performance of our global SMA platforms for the financial year. Annual inflows of $3 billion is a tremendous achievement, 50% higher than the prior financial year.

"We are also excited about the year ahead, with key client wins to accelerate growth. With significant industry forces driving change, particularly in Australia but also across global markets, we are well placed to benefit from the move to transparent and efficient adviser and investment solutions. We also expect further upside from our global focus on superannuation and pension solutions. We remain extremely focused on enhancing our position as the leading Managed Accounts provider." and

Key Measures

FUA, platform and funds

$ million	Mar 18	Inflows	Other^	Jun 18	Jun 17	Growth p.a.
Australia	5,131	566	(91)	5,606	3,874	45%
International	2,662	194	(174)	2,682	2,240	20%
Total	7,793	760	(265)	8,288	6,114	35%
International (£)	1,449	108	(46)	1,511	1,325	14%

International FUA in GBP is translated at spot rate for quarter end FUA (0.5634) and quarterly average for inflows (0.5601) ^Other includes changes in market value of assets, foreign exchange movements (for International FUA) and fund outflows.

FUA, Smart Investment Management

Key statistics, pension and superannuation

Jun 17
Managed Funds ($m)	393
Model Portfolios ($m)	296
Total FUA ($m)	689

Sep 17	Dec 17	Mar 18	Jun 18	Growth p.a.
435	485	496	465	18%
318	337	327	329	11%
753	822	823	794	15%
Sep 17	Dec 17	Mar 18	Jun 18	Growth p.a.
Australia: Retail Super FUA ($m)	657	716	796	844	936	42%
International: UK Pension Schemes* (#)	325	339	357	396	448	39%

Jun 17

*UK Pension schemes include Self-Invested Personal Pensions (SIPPs) and Small Self-Administered Schemes (SSASs)

About Praemium (ASX: PPS): Praemium is a global leader in the provision of investment administration, Separately Managed Account (SMA) and financial planning technology platforms. Praemium administers in excess of 475,000 investor accounts covering approximately $100 billion in funds globally, and currently provides services to approximately 800 financial institutions and intermediaries, including some of the world's largest financial institutions. For further information contact: Paul Gutteridge, Company Secretary [phone]