WDR - Earnings call transcript Q1 2019 | Waddell & Reed Financial Inc

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good morning and welcome to the Waddell & Reed Financial Incorporated First Quarter 2019 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation there will be an opportunity to ask questions. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Mike Daley, VP, Corporate Controller & Investor Relations. ahead. go Please

Mike Daley

behalf to On call. management I team Thank you of to like welcome conference our would you. our quarterly earnings

Joining Inc.; Brent today Ben me Retail Distributors Wealth Mihal, call Inc. Sanders, Waddell our Scupham, on CEO; & President Business, our Ivy Reed, President are of Clouse, Amy our Bloss, Phil CFO; Management COO; and Shawn our our of

some I would include like of that our begin, you may comments we Before forward-looking remind statements. responses and to

based reasonable materially any be including information to I expressed statements statements. reference like today's these on believe Release Phil. public with forward-looking the the us, Press the number to could relevant we currently our in is call a results ir.waddell.com. over or would a of filings Supplemental to section of we the website update differ Schedules on been call, and available Materials at Investor now factors to While duty that those have that SEC. of our posted turn no copy implied to We actual due to to from assume Relations

Philip Sanders

pension compared per Good for income of million from it the $X.XX reported XXXX a morning. the of us. included net liability. share our for million, the or $XX or gain first prior Thanks we've $XX $X.XX million, quarter. Recall joining Today to revaluation quarter, per the $XX share during fourth of quarter

and from economy, quarter, experienced stabilizing more XXXX. first trading a optimism both markets the the represented to Supported a global U.S. we of powerful tone outlook in on monetary for the the recession trade negotiations ECB, Chinese and with During quarter growing what Federal rally. stage environment policy equity the dovish China, image a fourth almost fears mirror Reserve market the of by

S&P the worst its quarter fact, XXXX. XXXX, quarter since delivered since its quarter third index best immediately In the XXX of following

recently, volatility, bouts the forward. around there more of around which continued amount path clarity has is still more certainly issues, market fair positive of of debate pending been a in these the While the tone result could

diversified While dynamics seek important into remain has active managed our industry recent trend. in long-term helpful that our market in we the both Company an challenging welcome investor clients' role investment play general. guidance sentiment, in level, that financial equities long We the our reversing not high from remain and recent believe we the our will and will but channel volatility shortly, as be go both in financial a advantage. the flow strategic unaffiliated investors products, Furthermore, our merits solutions. business. management management uptick actively been wealth come for And will this in confident can business a out around built to experience a term slow distribution further headwinds realize at model distinct and financial plan continue detail into we Ben

our wealth some strategies, of certainly be strengthen for architecture a platform to our infrastructure. management transition performance While work sales also business, improve to more have in of some investment we to attributed had industry trends, our key to open can our challenges

in all but come made of have progress initiatives, overnight. We do meaningful results not these

direct of our realigning spent to all year channels. service in part working As last effectively better our and more reallocating discussed, sales leadership, to and the previously of order better distribution we resources

On our our are organization. XX% structure representing top strategies, MorningStar performance the top for see respective Rest universities. a quartile right our measured complex steadily assured, of a getting respective largest to improve of trailing by out a basis, focused these time ranked three period. the payoff five assets, efforts, to top top in one, their the quarter long-term While Furthermore, groups. for peer of when XX in of registered priority MorningStar quicker we across would we this percentage key on Investment and continued the their for top eight success. ranked sustained of strategies investment almost place assets the four as from past the was for year half our remains half the certainly performance solid performance like of in

risk a For management, to and we the our past in two strengthening and capabilities. have half been investment steadfast years our commitment resources and management

to our more to encouraged evaluating with forward is understand paying format, strategies delivery be there's in our key these to a component provides seven are is network, recently delivery key price We strategies. way new here. line. flexibility Ivy attractive product to vehicle offer a an but access to continue It adaptable across existing competitive at opportunities the and providing efforts strategies offering equity regard model of helps off, A strategy equity done We introduced see going to and remain model us marketplace to distribution important investor us for point needs. our

or we business. the in past, dealer what called business, broker our Turning to Management have, our Wealth

significant an results. the our having We progress In the focus on foundational individual beginning do year. goal client and finding or manager a of where and believe frames an Advisors, long associated Reed solutions business. on distinction independent products. better as to our the wealth partnership wealth this important clients, Waddell part better planning we on that way term pure to success, financial advisors for industry financial focus business have & the trust, important in with made manager Referring associated is are of focus defines strides than a and setting since Company rather transactions our

throughout programs, the the including development progress programs. practice As quarter, expanded stronger and we continue to was evolving advisory business, work technology enhancements, first on evident that

announcement advisor solution, of deploy [ph], applications advisor to we program single Thomson Refinitiv, point the begun to provides with for core Thomson Reuters, the and January ONE agreement which pilot desktop workstation our One formerly Waddell Following a have called access systems. a the

streamlined of be rolled with the first business and administration we advisors workflow, aspects capture text to and desktop Other broader expected use, allowing the launch texting. The coming aggregated phase an will mobile a over on March, in year. advisors later program which clients is communicate program of months. a out through to for Also, center data platform introduced all this

programs the party new advisory offers a during were range portfolios, third Additionally, both that ETF introduced we program a wide Strategies including strategist mutual Guided options. of quarter expanded Investment called fund and as

investment the and expanded available also through choice clients range asset as advisory Investment plans. their other managers they and We of programs, advisors additional Strategies and providing flexibility build Guided

allows experience to of we GPS. their or we business, As aspects improve to review key personalize we Great called the our practice growth program experts, program direct in continue Solutions from and access industry plan building April the provide, continued in and introduced custom Practice coaching support coaching progress. a advisor and advisors The for

the us moves model, focusing forefront standard on of the progress differentiated while this service industry and supporting attracting model. a independent seeking of All advisors, productive toward experienced

by productivity reached progress reached our advisor in during today, We the this all-time are made an quarter. which - particularly levels encouraged which all-time highs

recruiting of to our in the are which have market grow being recruiting we in addition, and now us our should package, recently put addition through place the productive future. we position advisors well enhanced In teams is competitive, and believe

business turn now to our results. over Ben Let and it financial cover me to

Benjamin Clouse

Thank you, Phil. good And everyone. morning,

asset prior or the per a during of $X.XX XXXX $XX.X and from will first reported quarter. the compared our flows fourth income included quarter impact million, million, or the quarter. start benefit from portfolios. $X $X.XX corporate of annual our covering into of per XXXX included per $XX.X of pension $X.XX then financial and to a seed Phil by million share, I for The or while positive As on share noted, $X.XX investment gains deeper our the dive revaluation net quarter and results we liability share

challenging the increase effects quarter, carryover experienced management a while have X%. at of subdued. but average the we as experienced our assets $X.X Coming $XX.X manager our been distribution sales quarter equities. fourth dynamics, some channel across volatile billion flow billion Net under improved managed retail in to That outflows Assets slow the and fourth the prior and network ended to wealth sales off compared management $XX.X return from notable unaffiliated softer investors quarter slowdown quarter, both distribution meaningfully of decreased to billion, X% our under persisted remain actively quarter. the

the mix, equity core a In we flow quarter. to defensive experienced more the general, pursue strategies and our strategies. asset domestic somewhat expense equity, of strategies only international activity. modest elevated investors such and beta focused higher our at science income lift international in equity continued during for Given technology more remained fixed as Outflows and

laying our income is that optimistic across While flow rate reduced significantly the the it positive our the much high to previous On a of outlook mid-cap And performance in products was a the array marketplace. are at resonate market small outflows, a to groundwork quarter. continue experience equity in and future. steadily improved strategies broader also improving and for emerging we a from franchises note, continued

institutional channel, outflows as the The quarter we million $XXX of $XXX XX. of Within net signaled million. March occurred not last had redemptions were

million the expect million already with the quarter, $XXX However, in of we still out redemptions those April. $XXX in coming second

to most in instability past we're institutional our continue believe We the channel. of

under As a reminder, the than management. X% comprises our total of less institutional assets channel currently

or expected, ended we first Phil's quarter in quarter management management levels. progress, result due was advisor attrition our our the to we norm. the wealth transition to Assets producing recap of production wealth the compared pace appreciation. our ended as $XX.X minimum and advisor Adding quarter elevated is quarter, of business X,XXX on at below a the annual administration increasing fourth longer advisors to associates as believe advisors of the and term X% our market slightly at primarily with under the transforming billion, attrition its nearing business, We

for As a the in productivity reach year. productivity same increase XX, XXXX, Phil compared XX% with to average highs months advisor XX we the of new mentioned, trailing time ended March last $XXX,XXX

results. and a impact financial the As payout into in included reported announced January compensation is for rights the went effect to X, advisors increase previously our its reminder, independent

a grid We reduction expect corresponding through is support this footprint continue savings the will field compensation our best-in-class a offset we by to from business by what XXXX. fully office and our be believe reinvestment overhead that in in

quarter. financial which operating results, declined million, partially offset the was decreased prior to revenues operating now Turning lower X% income $X.X compared costs to as by

quarter revenues advisor discretionary compensation $XXX.X and ago from includes the XX.X our compensation, was of the in and due In spending, primarily remainder fee million the million in reductions the and points Operating moved of of some from occupancy the $X.X change by but the year. days partly of million with addition for in addition rate advisor technology, line prior related XXXX. in be the grid. at lower our the Controllable marketing, we expectations variable certain points to the from quarter. expenses progress the levels, fewer basis impacted which be year were by X%, to to and were to were that same expenses with consistent fourth to quarter $X.X asset evenly distribution costs, expenses, made quarter. reduction revenue, basis lower unchanged by quarter in compared the second by muted related on won't half the solid management in lower was technology are distributed on Effective in made fee or expected of lower a in through to which X heavier G&A XXXX a the impact We declined somewhat G&A, costs quarter, two project package XXXX, the were timing

of be will XXXX spend incurred throughout that of and remainder into early the much XXXX. However

at space, technology exercise near-term. pressures offset we expense over As our the believe discipline our increases to expense and the in ability and incremental we to spending inflationary from continue look controllable

of increase $XXX expectation will XXXX, the quarter primarily Based balance The tax rollout. on XX.X% for for the tax is that our the the was our we year, shortfall expect $X.X our effective additional technology current approximately within controllable performance charge be million guided second the vesting for Given year expenses [ph] expectation approximately expense income continued of $XXX shares of quarter in than full the rate our was but at restricted million. the in in an and lower quarter, from of on the million range. share dependent, the prices,

of range any We expect excluding the to impact non-recurring the continue of rate the discrete in XX%, items. to tax run be to additional or XX%

ended investments million. with ended of cash the goal share our at progress of XX% by We target. of final management. the we quarter that against made in end million toward One buybacks $XXX and Finally, XXXX quarter $XXX and point capital on the further complete

and between dividend We an opportunistic level plan. have capital the flexibility our sustainable share been buyback pleased of current return with program the

cash attractive investment future as attractive our and hold returns period, to balance take We and results. During growth our drive this strategy has current consistent. provides this believe an plans stockholders time remained relatively - provides our

cash As levels, below our we the plan sheet look to our balances of while organic our call available continue and at to growth become or plans, to practice for they questions. flexibility in both maintaining affords would Operator, wealth managing forward, pursue tightly now management we balance us current as well spaces. management opportunities, as open the should the inorganic like asset we attractive their

Operator

begin question-and-answer will The the Fannon comes Jefferies. Please go We [Operator now from first session. Instructions] Dan ahead. question with

Daniel Fannon

on what's bit of around morning. asset around Can I to you? of be about But well current terms potential levels. a of management, capital in that the or there M&A, maintaining what it interest Good wealth guess thanks. cash here follow-up tone in seems last management, around uses. Hi, both change comments just you're mentioning talk are guess a is management as changed a I might balances you of as because like the

Philip Sanders

This morning. Good Phil. is

while about think talking I time this been now. we've some for

the I and it's two had business. last side in transition doing some management we the to say to of investment of of restructure fair asset Company and fix We think things to management a our the years terms spent the lot manager. things wealth that

I say appetite execute would to for think maybe today always always that little open it, been. more and just bit a to is our than - probably I to while ability So minded on we've that been open we've that, our probably

better on that execute position move a we're to and just in think forward. I

So made in asset transforming as we we've on to the have the indicated, business. an as also or appetite, significant but ability that - Ben opportunities the wealth we space, either space, see management progress where management

still So reposition to years we've of couple been balance. cash the maintaining it Company over while significant able kind last and of restructure

strength I the us as And see they or shareholders opportunities affords to an balance sheet's how we optionality as to that indicated of balance growth and so some organic time, And return for been potentially inorganic to area available. investing sheet strength come Company. think the quite or of look if we liquidity capital

Daniel Fannon

guess, as that's I growth follow Appreciate terms about focus expense bit a normalized the keeping level updated rate helpful I a guidance. things and longer expenses. or up - should that beyond, is just there think on a we a on Great XXXX we term, is be is the guess and on outlook? there a flat, thinking about more thinking on more longer there

Benjamin Clouse

harder better further at are significantly will an to we cost Yeah. winding we we elevated we have The transformation, you that go technology believe, of as older moderate out, as some expect longer our as we through lieu work run rate concludes of mentioned, costs sun-setting in is efficient on the pressures it that would our our or processes. and I've systems down more call, And as think differ inflationary I course predict, the previous while term. expectation don't from but in higher

Daniel Fannon

Got you. it. Thank

Operator

question Lee comes Robert with ahead. from go next Please KBW. The

Jeff Drezner

sitting to Jeff Lee. product in actually in declines sales had regards that question Drezner changed the the evidence for just the something a calling is the perhaps? in this Robert is about there I out you driving business insurance lower that's quick model this to Hi broker-dealer contributing

Amy Scupham

you can please? repeat Jeff the question

Jeff Drezner

sorry. All right

Sorry?

Shawn Mihal

I'm sorry.

the wealth related this is management within the sales insurance Jeff. So - question Shawn. question Is to the the Was space?

Jeff Drezner

Yeah.

Shawn Mihal

to that then Yeah. other was I I'm part what the you were what to And sorry association it - hear was, saying? hard missed

Jeff Drezner

the these about declines sale? Apologies. in there the driving that Is changes model perhaps business something in

Shawn Mihal

of model between We just different moving over insurance there's various little overall I the annuity really seen to in seen impacted see side model. really that side. in to insurance an the business the more to where, sales bit increased and so fluctuation we've the chunks changes variable that to some tend index insurance past business, the side fluctuation change of insurance we've in more with in been has side hasn't of of a variability that be sales some but it in business there sales products, a would no No. say the annuity

Jeff Drezner

just thinking the when regards Great. I and follow quick just advisor force you with get one, back if growing that? about perhaps Thanks. And in growing to to up one might could

Shawn Mihal

Yeah, absolutely.

So Shawn this again. is

months working are get and been on the through side productivity we XX structure working with process it working we last country. we really force, three advisor additional wealth concentration in along growing a a inside up where to package or highly as of a the recruiters so focused the is new of sport of model position in competitive thought the the a appropriate level So supporting that we've us our are model towards business a across that standing is It's been centralized management for the over was competitive. recruiting regions we believe a core

So we're on and recruiting our absolutely pipeline. are focused model on that growth actively working

Jeff Drezner

Thanks Great. very much.

Operator

Kenneth with Please question next Lee Markets. The RBC go ahead. comes Capital from

Kenneth Lee

just thanks detail my expenses compensation rate run and but to question. on going going operating seasonality a headcount, about the forward, a way think for to given but in expense more, parts Appreciate moving the to of bit changes for a little what's lot dig forward? Hi, good taking

Benjamin Clouse

don't we rate. lot in I comp Kenneth, a change the it's Well, expect run of whole Ben. think

caps we particular that to bit a know, to benefit be little seasonal often tend first are in the you and As in incurred tax quarter.

in very the comp had in a of I the amount quarter. run first change year. expect don't rate significant We the through severance But modest also any

Kenneth Lee

you. just one follow-up. Got And

the expenses what broker-dealer items? the and channel, going those for of underwriting terms In forward unaffiliated and and fees the retail expectations distribution within

Benjamin Clouse

of not my wouldn't the in as grid wealth I because 'XX, the grid incremental especially reminder, comments, moving will think to in for wealth forward, 'XX in in going U&D those that of a be those revenue, made note we've space as you for a One that think really the services we mentioned some incremental as advisor the space run the the management look there's where, I related beginning force. changes forward. rate with between of we in be bit we're have in year. to But of little correlation on to to our our going I to both correlated providing charges transitioned we expect periods would divergence tightly two the move manager prior revenue basis,

at the a So look might there. again, you periods correlation of as tight prior lack see you

indicative the run ongoing be though, First quarter, of should rate. pretty

Kenneth Lee

details. Appreciate the Great. Thanks.

Benjamin Clouse

Sure.

Operator

The Bill ahead. Please next question comes from Citi. with Katz go

Brian Wu

is Wu Good you morning Bill thank Brian this taking questions. on for for Katz my

to Regarding quarter management the declined is the business, perhaps market what over the is and speak how or quarters, wealth much the mix we or last on over you of that due to changes fee perhaps the fee-based due noticed yields quarter. underlying competition? Could several AUA trend brokerage rate pricing factors to driving or

Benjamin Clouse

chime I and might start, Brian; in. Shawn, please

I fact month in the all advisory think beginning is products. the the In based at of our products will for mostly that in the there but model, lag most revenues advisory on that assets significant level. are billed driver bit space, a particular asset

I see the So March. and biggest lower probably through rate. as defer if Shawn major be the X, on up far then has that that about he would there February you driver think I'll That's that and were moved levels their for and think, intel impact but other January example impacting to the away you asset way there.

Shawn Mihal

that while been into the being March quarter assets some with on basis, quarter on billing we the absolutely the quarter based saw quarter. through an in for performance, point, billing with have taken on has the correct X. It on that's of declines fourth proceed fourth time one seen the assets each month thing asset advisory that we've the and focusing as levels recovery was that's last we first process at at some first No,

of March. asset will assets when take quarter inclining to to level But So over we we January, into recover last some have the will that which agree. were course February the of year. time back started fourth I it

Brian Wu

is the grid, in very due notable you - much to a And reasonable That's just management if dimension step the you other there down any there's And factors? that payout could up, margin. is a wealth adjusted expect forward? that helpful. How going Yeah. then level to versus of follow is that

Benjamin Clouse

into a certainly some Brian, said, or see add that's topic we that was And say large we would Shawn hold second on the to improvement their impact. should what partly to of the change, driver but just to margin there. current significant grid say assuming I asset due quarter, I positioning would levels discussed also better

Brian Wu

thank for Great, question. you my taking

Benjamin Clouse

Sure.

Operator

Lynch. from go comes question ahead. of Michael with next America Bank Carrier Please Merrill The

Sameer Murukutla

good related morning, had Murukutla Sameer This Hey, sheet to a actually balance on question for Carrier. again. guys. is quick Michael the I

balance keep as seed As minimum update would you and is cash relatively a what maybe have provide you much, And appropriate can you strong highlighted you a on sheet. do like, you like hand? overtime. believe size But the how an then to

Benjamin Clouse

I that, capital wouldn't cash some of are needs regulatory offer some a capital are particular dollar that on figure for modest working have obviously and small. have the we We quite pretty requirements I hand. amount think,

the regard our that's of to or of million continue in product which look something we part for there, flexibility we of and In repetitive but not portfolio, be try have our we $XXX be think incubation to of balance balance the want to our asset sheet, inorganic. whether million have our I'll is neighborhood our organic management growth we seed development preserve to opportunities As that to seed business. that key process, to currently, we to see $XXX with we course but that comments, at

will think moderated perhaps think and at to our about or to a forward evolve continue somewhat we as product that level I of continue that going similar be portfolio.

Sameer Murukutla

total look have guess, management lower lost just you to on business, of advisors. the the been has productivity as highlighted, you When them increasing you side the steadily up. I But negative. follow one at just And you. Thank Okay. just producing wealth that's AUA, as been

what you it that around? is, moving it guys? turn at very important And forward? should could Now, figure look for how Is that we if a

Shawn Mihal

business continued initiatives our Yes. morning. for we monitor. AUA important figure field something advisor is that is focused of working impacts Shawn that number overall and with phase It an it's distribution move us have and into AUA. that number that We're to that our of entered again. population good to as respective to with well demographics that's understanding through respect This more assets holding on regard with a to their a number their to as So the client tends our to those of force total

it for it. We're is number So an our on continuing to focused watch certainly we're efforts recruiting us. business. But to important grow will be the that something to continue

of it flow the continuing to their had preserves in that the that opportunities organic M&A the we're continuing mentioned and focusing be understanding the another where perspective appropriate, management advisors to to of comments, will in Ben a As demographics focus. growth area opportunity from wealth his provide components And AUA and that then them space, with with on may supporting respect our existing practices. be overall that individual

Benjamin Clouse

from assets that is very also think I advisory we're assets. brokerage add, Ben, transition on would this to I focused the

We blip, historically have, in aside the quarter from advisory flow. been positive a assets fourth

against Although, exiting based clients brokerage to more the of headwinds we work investment accounts. continue

Operator

next The Please with from Mac ahead. comes Instructions] Sykes go Gabelli. [Operator question

Mac Sykes

morning, Good gentlemen.

Philip Sanders

morning. Good

Mac Sykes

quick say and just then statement questions. would one two I

First, repurchase just in nice progress program. a would I say the

- and so since think level. X%, million keeping share cash $X and XXXX, it's shares I the the you by reduced count

firm about trying the the platform? scale improving recruiting forward, how recruiting the you to wealth think I that from? recruit is platform I trying differentiated the versus is for to the Thank then versus credit you peers today mean be that. you may Could into And as overall for more think aspect dive productivity more management? you deeper of bit the you. number get So a how deserve important just little going just

Shawn Mihal

Yeah. productivity, Mac. comparison it is on components that front. Absolutely morning, on scale at Shawn. is This the well. is will that and to something Yeah, focus in looking as we on we are recruiting of the Good focused something

model. a focused are aligned to advisors the will looking support differentiated most that join opportunities We to that are be on

a helping look the commoditized and you with So unique certainly as their industry aligned grow association we've is of that model productivity. we support that to to the across investment business dynamic more model created feel and advisors, broker-dealers advisors

an it, sacrifice well. don't to is of scale sides. important productivity So we the And is want component productivity certainly as

of really that the is neighborhood in to towards of advisors having really their over are XXX,XXX, we our into be practices some productivity. being what up deem and type those help in intent put already XXX,XXX, high the on build programs where experience, but higher to levels to Our focus can driving performing them categories, we them and turnkey grow that them

there recruit you in impact as in can range. some while So be is that

that advisors. structure heard the the the Solutions, implemented where certainly will which of group, for to course that area an sales Great a the know focus support invest, in development need which We've implemented, industry. been going bring concierge really in for you've producing November for you fourth is advisors other compete the to an model drive through is really team we've coaching, about practice comments are higher of invested type because what as we grow which where that throughout focused an that continue practice those of level. to practice we which an first From number those quarter designed us identifying that's their initiatives approaches differentiate area in. our which We level is advanced But dedicated Wealth really on of group program areas we've those is the to higher continue program, And inside their focused a overall into in a put service next that to that turnkey we focus a a service before; place GPS they that as standing it's on is technology helps quarter, we've space, a those solutions advisor, future. areas into to factor, up. group, We've business. those differentiating for well a diamond Practice of implemented have which type one commodities

we which perspective. well which that leadership So dedicated in reorganize, really advisors field, from to really helping as model, them day-to-day support a the to growth working that as so providing to structure, our field support is

So something we space typically focus that that's which we don't a to a recruiting on that and And particularly that those recruiting need component with is independent are types little focused really on, the which of be earlier. driving differentiated recruiting, which drive we will exist aspect help of services a the where in we to understand We package. initiatives through that scale about will talked more work those competitive really productivity.

of lay here lot of approach see your we number space the related out commoditized on initiatives the future in perspective as our a groundwork advisory platform. of years you what type which are can for over turnkey to also but are the architecture a practices product the of only not what particularly But an opportunities, provide of few from they open just as as relationship. asset their advisors the we well investment rolled have programs, another products a some need last So on of management opportunity have that responsibilities programs a look building client they management around available that platform. while variety to they supporting having offload to wide focus we that

to model we differentiated opportunity more in package space focus So an would build independence total the will collectively to growth. us which gives in the a continue on

Mac Sykes

you. Thank Okay.

Operator

question is Please The Fannon ahead. Dan with from Jefferies. go next a follow-up

Daniel Fannon

you. Thank

have about so you the picked institutional outside color growth of if Just if side or in up in far quarter current many, all sales talk redemption the on any redemption terms of wanted $XXX in the million to could roughly of activity follow April change [indiscernible]. on at up

Philip Sanders

month the in to outflows seen month I in would side, if in. in seen total say know little experienced and international compared positive. prepared what the there mentioned in month the we trends in to significant We've early especially so in and but a experienced bit the redemption, marked of don't start what remained first a the part April April, quarter, And towards seen seen to… a to we've the bit life Amy in moderation regard. the change little technology. terms quarter. I'll first as of a outflows, to in jump we emerging in are the and sales little I if we've the is Phil. have We've I in Amy, that call comments think we is that This in back that's elevated market wants that consistent have science overall of And too come improvement some pretty less latter anything things with don't in a of a core

Amy Scupham

No.

think that's good. I Thanks.

Daniel Fannon

you. Thank Okay.

Philip Sanders

Yeah.

Operator

back our Sanders remarks. concludes to would session. any closing over turn question-and-answer the to like This for conference I Phil

Philip Sanders

we I Okay, up to will you everybody, you. Thank real catch road. tuning appreciate no and the real in closing down you remarks.

Operator

attending conference now today's Thank concluded. The for is presentation. you

You disconnect. may now

Waddell & Reed Financial (WDR) 30 Apr 192019 Q1 Earnings call transcript