REG - Record PLC - Fourth Quarter Trading Update

RecordAnnouncement

28/04/2023 07:00

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RNS Number : 7732X  Record PLC  28 April 2023

28 April 2023

RECORD PLC

FOURTH QUARTER TRADING UPDATE

 

Record plc ("Record" or the "Company"), the specialist currency and asset
manager, is pleased to announce its trading update for the three months ended
31 March 2023 ("Q4-2023") and the financial year ("FY-2023").

 

Highlights: FY-2023

 

·    Increase in AUME of US$4.6 billion (+6%) to US$87.7 billion
(FY-2022: increase of US$3.0 billion to US$83.1 billion)

·    Increase in net inflows of US$6.7 billion (+279%) to US$9.1 billion
(FY-2022: net inflows of US$2.4 billion)

·    Increase in performance fees of £5.3 million (+1060%) to
£5.8 million (FY-2022: £0.5 million)

 

Leslie Hill, Chief Executive of Record plc, commented:

 

"Our AUME continues to grow, ending the financial year FY-2023 at
$87.7 billion, representing an increase of almost 6% and including positive
net inflows of $9.1 billion over the 12 months.

 

"Our growth agenda remains on target. We continue to make progress and invest
in the modernisation and diversification of our business.  Looking ahead to
the current financial year (FY-2024), we expect to see continued growth in
currency management linked to the return of currency volatility to markets,
accompanied by the delivery of new and higher-margin revenue streams from our
continued focus on developing our asset management products and capabilities.

 

"I remain fully committed to our strategy and excited by the strong pipeline
of opportunities for growth and diversification that we are currently seeing,
which will be discussed in more detail in our annual results released at the
end of June."

 

Trading Analysis

 

1.            AUME composition

The Group's AUME as at 31 March 2023 totalled US$87.7 billion
(31 December 2022: US$86.0 billion), and expressed in sterling totalled
£71.0 billion (31 December 2022: £71.5 billion).  The composition of
AUME by product was as follows:

 

 AUME - US$ billion
                      31 March 2023   31 December 2022
 Dynamic Hedging      14.7            13.4
 Passive Hedging      63.8            63.4
 Currency for Return  3.9             4.7
 Multi-Product        5.2             4.3
 Cash & Futures       0.1             0.2
 Total                87.7            86.0

 

2.            AUME Movement

Net client AUME movement in the three months to 31 March 2023 was as follows:

 

 Net AUME movement - US$ billion
                                                3 months to      3 months to

                                                31 March 2023    31 December 2022
 Dynamic Hedging                                0.7              1.8
 Passive Hedging                                (1.0)            (1.3)
 Currency for Return                            (0.6)            0.3
 Multi-Product                                  0.8              (0.2)
 Cash & Futures                                 0.0              0.0
 Total net flows                                (0.1)            0.6
 FX movements and mandate volatility targeting  1.1              4.3
 Movements in global stock and other markets    0.7              0.3
 TOTAL AUME MOVEMENT                            1.7              5.2

 

3.            AVERAGE FEE RATES AND PERFORMANCE FEES

 

During Q4-2023, average fee rates remained broadly unchanged from the previous
quarter. No performance fees were earned in the quarter.

 

Record will announce its FY-2023 results on 30 June 2023 and its Q1-2024
trading update on 18 July 2023. If you wish to attend the FY-2023 results in
June, please contact record@buchanan.uk.com (mailto:record@buchanan.uk.com) .

 

-Ends -

 

 

For further information, please contact:

 

 Record plc                             Tel: +44 (0) 1753 852 222

 Leslie Hill, Chief Executive Officer

 Steve Cullen, Chief Finance Officer

 Buchanan                               Tel: +44 (0) 20 7466 5000

 Simon Compton                          record@buchanan.uk.com

 Henry Wilson

 George Beale

 

 

 

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