Transfer of Analyst Coverage; IOOF's FVE Lowered to AUD 9.20 but Positive Long-Term Outlook Intact

We transfer analyst coverage of IOOF Holdings. We reduce our fair value estimate to AUD 9.20 per share from AUD 10.00 on lower funds under management, advice and administration, or FUMA, growth assumptions. As part of the transfer of analyst coverage, we have also reviewed IOOF’s other key data points. Our fair value uncertainty rating is lowered to medium from high as it better reflects the company’s diversified, vertically integrated wealth management business. We maintain narrow moat and Standard stewardship ratings. At current levels, IOOF shares trade around 8% below our fair value estimate.