Platinum Asset Management price plunges from client departure

Platinum Asset Management learns the harsh lesson of losing a key client – started by CEO Andrew Clifford and Kerr Neilson in 1994, the company had around $16 billion under management – until an undisclosed client withdrew $1.4 billion invested. The ASX listed manager said the withdrawal will mean around $18 million a year in lost fee income. Mr Neilson was the Co-Chief Investment Officer and CEO for years with Mr Clifford for years before stepping down in 2022. Mr Clifford then took on the CEO role only to have Mr Neilson publicly urge him to step down in late 2023. At its peak, Platinum had $26.5 billion under management in 2018, but on Wednesday, its share price dropped 22 per cent at one point during the day and closed down at 21 per cent. The shares are down almost 80 per cent in the past three years, surprisingly similar to Magellan's performance.