Company Interview / Regal goes global as profits and FUM climb

Key takeaways:

Strong uplift in profit and FUM, driven by performance fees and diversified revenueSignificant offshore growth, led by Taurus Mining Finance Fund and sovereign mandatesNew multi-strategy income fund targeting investors displaced from bank hybrids

Brendan O'Connor, CEO and Managing Director at Regal Partners outlines a sharp uplift in first-half 2026 results, stating that performance fees remain a central driver of profit. Normalised net profit is reported at $93.3 million, with funds under management at $21.4 billion, supported by record net inflows of $1.4 billion. O'Connor stresses that while 85% of funds carry performance fees, the business is also seeing steady growth in base management and loan fee revenue, which he views as underpinning sustainability of earnings and fully franked dividends.

O'Connor points to the Taurus Mining Finance Fund as a standout, highlighting approximately $900 million of net inflows from North American investors into this private credit strategy, which provides debt finance to global mining companies. He sees strong offshore appetite across North America, Asia, the Middle East and Europe for diversifying alternative strategies, with a recent $200 million private credit mandate from an Asian sovereign fund seen as reinforcing this trend.

Looking ahead, O'Connor flags the upcoming Regal multi-strategy income fund, targeting investors seeking monthly income as bank hybrids are withdrawn from retail. He also notes a transition to an expanded investment committee structure as Phil King moves towards retirement, and expects surplus capital to support both dividend growth and seeding of new products.