Invesco Takes In $35.1 Billion Of Long-Term Inflows, Then Retires $1.5 Billion More MassMutual Preferred
The asset manager's adjusted operating margin widened to 40.7% while it funded the preferred buyback with a new five-year term loan.
Invesco, which runs funds and investment strategies for retail and institutional clients, took in $35.1 billion of net long-term inflows in the third quarter, down from $45.1 billion in the second, the company said Tuesday in an 8-K. On October 26 it also bought back $1.5 billion of its Series A preferred stock from MassMutual, paid for with a five-year floating-rate bank term loan.
Earnings dip, adjusted profit edges up
Diluted earnings per share were $0.65, down from $0.76 in the second quarter and $0.66 a year earlier. On an adjusted basis, earnings were $0.72, against $0.71 in the second quarter and $0.61 a year ago.
Operating revenue rose to $1,873.2 million from $1,640.4 million in the third quarter of 2025. The adjusted operating margin widened to 40.7% from 37.5% in the second quarter and 34.2% a year earlier; the standard-accounting operating margin was 23.3%.
Ending assets under management reached $2,537.8 billion, up 2.7% from the second quarter. Average assets rose 6.0%, which the company credited for higher management fees.
ETFs and QQQ lead the flows
ETFs and Index brought in $28.5 billion and QQQ $6.7 billion. Multi-Asset/Other added $3.3 billion and the China joint venture $1.5 billion. Fundamental Fixed Income lost $2.6 billion, Fundamental Equities $1.9 billion and Private Markets $0.4 billion.
Retail clients added $41.7 billion, while institutional clients pulled out $6.6 billion. Money market funds took in $52.9 billion; CEO Andrew Schlossberg cited $47 billion of global liquidity inflows alongside the long-term figure. Market losses cut assets by $26.4 billion in the quarter.
Schlossberg said the quarter marked the company's 13th consecutive of net long-term inflows, with 6% annualized organic growth.
Preferred buyback and a thinner debt load
The repurchase brings total buybacks of MassMutual-held preferred stock to $3 billion over the past 18 months and leaves $1 billion outstanding, Schlossberg said. He said it reduces leverage and increases earnings available to common shareholders.
Net debt fell to $315.8 million at September 30 from $708.6 million at June 30, and the company repurchased 2.1 million common shares for $65 million.
The board declared a common dividend of $0.215 a share, payable December 2 to holders of record on November 13. Management holds its earnings call at 9:00 a.m. ET Tuesday.
The company said the $1.5 billion term loan funds the repurchase, leaving $1 billion of MassMutual's preferred stock still outstanding.
Sources
- 8-K Filing — Invesco Ltd. (IVZ) — SEC EDGAR
- Exhibit ivzpressrelease3q2026.htm — Invesco Ltd. 8-K exhibit — SEC EDGAR
- What Invesco (IVZ) Earnings Preview Means For Shareholders — Yahoo Finance
- Invesco (Mon.) | Nasdaq Dorsey Wright — dorseywright.nasdaq.com
