IAM Surges with Record $2.85M May Revenue and $2.37B Funds Under Advice
Income Asset Management Group has posted a record revenue month in May 2025, driving strong quarter-to-date growth and expanding its funds under advice by 28% year-on-year.
- Record $2.85 million revenue in May 2025, highest monthly figure to date
- Quarter-to-date revenue at $4.05 million, surpassing previous quarters
- Funds under advice grew 28% to $2.37 billion since May 2024
- Largest ever $300 million bid in Macquarie Tier 2 public issue
- Operational efficiencies achieved via partnership with Perpetual Custody Trust
Strong Revenue Momentum in Q4
Income Asset Management Group Limited (IAM) has kicked off the fourth quarter of 2025 with impressive momentum, reporting a record $2.85 million in revenue for May alone. This surge has contributed to a quarter-to-date revenue total of $4.05 million as of 31 May, already exceeding the company's typical quarterly averages. This performance builds on a solid foundation, with IAM having generated $3.7 million in the previous quarter and maintaining consistent $4 million quarters prior.
Driving Growth Through Debt Capital Markets
The record revenue month was largely driven by successful execution of debt capital market deals and increased secondary trading activity. Notably, IAM placed its highest ever bid of $300 million in the Macquarie Tier 2 public issue, underscoring its growing stature as a key capital source in the market. Additionally, IAM acted as lead manager for a $175 million fixed rate note issuance by Magnetic Rail Group, further cementing its role in significant debt transactions.
Operational Efficiency and Scale
IAM's ability to handle a record 1,487 trades in May without escalating operational costs highlights the benefits of its partnership with Perpetual Custody Trust (PCT). Leveraging PCT's scale and technology has allowed IAM to support increased trading volumes efficiently, avoiding the need for additional resource expenditure. The company signals that further synergies from this partnership will be announced as they develop.
Expanding Funds Under Advice
Reflecting its expanding market presence, IAM's funds under advice have grown approximately 28% over the past year, reaching $2.37 billion. This growth is attributed to increased deal flow and client activity, positioning IAM as a significant player in the income investment space, covering bonds, loans, and treasury management services.
Looking Ahead
CEO Jon Lechte highlighted the company’s disciplined approach to growth, emphasizing the balance between scaling operations and maintaining cost efficiency. With the Reserve Bank of Australia’s recent interest rate cut making bond yields more attractive, IAM is well placed to capitalize on favorable market conditions and continue servicing its growing client base.
Bottom Line?
IAM’s record-breaking growth and operational efficiency set the stage for a potentially strong finish to 2025, but sustaining this momentum will be key.
Questions in the middle?
- Can IAM sustain its elevated revenue levels beyond Q4 2025?
- What specific synergies will emerge from the partnership with Perpetual Custody Trust?
- How will IAM leverage its market position amid evolving debt capital market conditions?
