20th Apr 2018 10:42
LONDON (Alliance News) - Currency manager Record PLC on Friday said client outflows and negative movements in stock markets led to a slight decline in assets under management equivalents in the final quarter of its 2018 financial year.
Shares in the company were trading 11% lower at 44.00 pence.
As of the end of March, Record reported total assets under management equivalents of USD62.2 billion, down from USD63.9 billion at the end of December. Net client outflows in the fourth quarter totaled USD1.6 billion, versus inflows of USD1.4 billion in the third quarter.
Movements in stock markets resulted in a negative investment performance of USD1.4 billion. However, currency exchange rate movements added USD1.3 billion to assets.
Record said that during the recent three months, it was awarded a passive hedging mandate representing USD2.2 billion assets under management equivalents and a multi-strategy mandate of USD0.3 billion. It was also notified of the termination of a passive hedging mandate of USD1.7 billion, expected during the first quarter of new 2019 financial year.
Fee rates for most products remained substantially unchanged from the previous quarter and no performance fees were earned in the fourth quarter, Record said.
"We continue to engage with existing and potential clients on currency management strategies across Record's full product suite, and we are optimistic about making further progress in the current financial year," Chief Executive James Wood-Collins said.
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