DWS Group Reports Robust Q1 2024 Financial Performance

DWS Group GmbH & Co. KGaA announced a strong start to 2024, achieving substantial net inflows and setting a new record for Assets under Management (AuM). In the first quarter, the asset management firm’s AuM increased by EUR 45 billion to EUR 941 billion, fueled by robust net inflows and favorable market conditions.

The company recorded long-term net inflows of EUR 7.9 billion, significantly up from EUR 1.0 billion in the previous quarter. This growth was driven primarily by passive assets, including investments in Xtrackers. The firm also benefited from a rebound in active asset inflows and continued interest in ESG-focused funds, which attracted EUR 1.7 billion. Despite a slight decrease in overall revenue due to lower performance fees, management fees increased, reflecting the higher average AuM.

Cost management efforts were evident as DWS reduced its adjusted costs to EUR 423 million, a 2% decrease from the previous quarter, mainly due to reduced administrative expenses. The Adjusted Cost-Income Ratio improved to 64.7%, aligning with the company’s forecast for the year. Positively, DWS’s net income saw a significant increase of 20%, amounting to EUR 146 million.

The report highlighted several strategic initiatives, including the launch of new Xtrackers ETCs in partnership with Galaxy Digital Holdings Ltd., offering access to major digital assets. Furthermore, DWS’s commitment to sustainability was underscored by external recognition of its efforts, receiving a CDP rating of B and high marks in the 2023 PRI Assessment Report.