Macquarie Asset Management agriculture AUM hits A$4.3bn

Macquarie Asset Management has A$38.4bn of equity dry powder to deploy across all asset classes after another strong year of fundraising.

Macquarie Asset Management increased its agricultural assets under management by 19 percent in the year to March 31, 2023, reaching A$4.3 billion ($2.9 billion; €2.7 billion).

The figure was revealed in Macquarie Group’s full-year 2023 results announcement, published last week, as part of the firm’s total private markets AUM of A$336.3 billion. This figure was an increase of 30 percent from March 2022.

Macquarie also said it has A$38.4 billion of dry powder to deploy in private markets, an increase of 75 percent from a year earlier, after raising A$38.2 billion in new equity from clients across all asset classes.

Overall, the firm reported another very strong set of results, with total AUM across both public and private markets rising to A$870.8 billion and net profit for FY23 hitting A$5.18 billion, an increase of 10 percent on FY22.

MAM contributed A$2.34 billion to the net profit figure, a decrease of 23 percent from the A$3.03 billion recorded in FY22, which Macquarie said was down to significant income reported in FY22 from the disposition of assets in Macquarie Infrastructure Corporation, as well as lower gains on asset realizations in the green energy sectors. The decrease was partly offset by higher performance fees.

Profits at the group overall were boosted by the firm’s Commodities and Global Markets division, largely as a result of volatility on global energy markets.

Macquarie said the group has a “cautious stance” around future growth, taking “a conservative approach to capital, funding and liquidity that positions us well to respond to the current environment.”

In a statement, Macquarie Group managing director and CEO Shemara Wikramanayake said: “Against a less certain market and economic backdrop, the diversity of Macquarie’s activities and the expertise of our teams ensured we maintained strong performance during the year.

“Macquarie remains well-positioned to deliver superior performance in the medium term due to its diverse business mix across annuity-style and markets-facing businesses; deep expertise across diverse sectors in major markets with structural growth tailwinds; patient adjacent growth across new products and new markets; ongoing technology and regulatory spend to support the group; a strong and conservative balance sheet; and a proven risk management framework and culture.”