L1 Group posts 'marked recovery' in June quarter

L1 Group has reported a marked recovery in investment performance in the June quarter.

This comes after the firm took a dip in March due to the sharp rise in volatility triggered by the Iran conflict.

Funds under management jumped by 12.4% during the quarter to total $19.1 billion post distribution.

Funds under the L1 Long Short strategies rose to $8.9 billion from $7.6 billion during the quarter.

"The initial public offering (IPO) of the L1 Gold Fund in April contributed $428 million in net inflows, while net client flows into L1 Long Short strategies and L1 Affiliates were also positive," L1 Group said.

"Net outflows in Platinum strategies, including Platinum International, were $308 million, in line with March quarter ($308 million)."

L1 Group said it expects the realised performance fees for the six-month period to June to total approximately $122 million to $127 million.

"This amount includes the previously disclosed one-off performance fee of circa $79 million earned from the closure of the L1 Wholesale Gold Fund," it said.

"The remaining performance fees earned in the period primarily reflect an exceptional performance by the L1 Capital Catalyst Fund, together with contributions from the L1 Global Opportunities Fund and other L1 Capital strategies."

L1 Group expects to incur $33 million to $36 million in after-tax one-off costs during the second half of FY26, mostly related to the Platinum integration and to the IPO of the L1 Gold Fund.

It recently appointed a new chief financial officer James Allaway, who comes from another ASX-listed firm FleetPartners, where he served as chief strategy officer for the past 14 months.

Allaway succeeds incumbent Andrew Stannard, who will transition to an advisory role ahead of his departure in early 2027.

L1 Group formed last year through the merger of L1 Capital and Platinum Asset Management.