Jefferies Comments On Invesco's Novermber AUM Report

Invesco's IVZ core business trends are stable-to-improving and the opportunity for acceleration through the VK acquisition remains significant. The combination of solid investment performance, enhanced distribution capabilities, and stringent expense management should accelerate IVZ's earnings power and organic growth. IVZ reported Nov 30th long-term AUM of $542.2B, down 1.7% from $551.6B on Oct 31st. Total AUM declined a similar 1.6%. Modestly positive flows within actively managed funds were offset by outflows within passively managed funds. IVZ reported Nov 30th total AUM of $611.1B, down 1.6% from $621.2B as of Oct 31st. Almost half of this $10.1B decline resulted from a negative currency impact of approx. $4.5B. A modest strengthening of the CAD vs the USD during the month was not sufficient to offset significant declines in the GBP and JPN. Jefferies has a Buy rating and $27 PT on IVZ IVZ closed Thursday at $23.17