Update: Net client inflows on their way
Record has reported that assets under management equivalent (AUME) in dollar terms were broadly flat in the quarter to December 2014, with net inflows amounting to just $0.1bn. However, management has announced it expects $2bn of net inflows in the current quarter. We estimate that these will produce a small uplift in profits despite a further shift from higher-margin dynamic mandates to lower-margin passive ones. We do not expect any impact from the Swiss franc currency turmoil as Record uses high-quality bank counterparties for its clients’ business and not retail brokers. Unlike most other asset managers, Record should benefit from increased market (especially currency) volatility, which should increase demand for its hedging services and offer more scope for its currency for return strategies to perform. When allowance is made for the high element of cash in its balance sheet, the shares are modestly rated compared with other asset managers.Record is an independent currency manager delivering currency solutions. Co.'s clients are mainly institutions, including pension funds, charities, foundations, endowments, and family offices, as well as other fund managers and corporate clients.
Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.
.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.