Record Share Discussion Threads

[boonkoh] 17/7/2015 12:17

Very lukewarm trading statement today. The shares are not on that demanding a forward PE, with a good dividend, but clearly the market was expecting more progress.Whether the divergent monetary policies to come and more currency volatility will help Record this year remains to be seen.

[boonkoh] 28/6/2015 22:58

All the impending volatility of a grexit must be good for Record. I can imagine the phones ringing off the hook.

[bdroop] 19/6/2015 08:46

After a long wait, the macro conditions seem set fair here, fingers crossed and all that. GLA.

[topvest] 16/6/2015 20:13

Good results and increased dividend is a bullish sign. The share price has finally broken out above 35p which has to be a chart break-out. All we need is some nice currency for return contract wins and this would go ballistic. Maybe one day!

[robsy2] 16/6/2015 10:30

Good progress being made here. I am very happy with these results. The only I thing I didn't get was a special dividend....
R2

[robsy2] 14/5/2015 12:20

Hmmh don't know about Friday but like you, I feel this could be moving fwd from here.
Special dividends maybe? , better trading, more client mandates, more interest in their products, a cyclical swing back into fashion for the service they offer, improved margins... Lot's of potential good news and plenty of support for the share price beause if it just continues to plod along (and it's trading well enough as it is),then we'll get something anyway.
R2

[boonkoh] 14/5/2015 10:57

SP testing the upper bounds that haven't been tested for some time. Wonder if it will break through and consolidate around 38p by end of Friday.

[topvest] 24/4/2015 19:21

For me it was overall pretty positive. Currency return AUM up and first performance fee for a few years. Dynamic hedging and lack of any further contract news were a tad disappointing. Steady, if not spectacular progress I feel!

[gargoyle2] 24/4/2015 08:48

Anyone have a better idea than me about interpreting that 4th quarter trading update? AUME has increased significantly.

[topvest] 25/3/2015 21:05

Yes, looks that way.

[gargoyle2] 25/3/2015 13:41

This is going to shoot when it breaks over that 35p resistance imo.

[topvest] 13/3/2015 08:47

I certainly hope so. They could well be rated as a growth company again sometime soon. Their year-end AUM are bound to be up on last year. Lots of the mandates were in Swiss Francs and so they could be significantly up in US$ (1 Swiss France to the US$) when we get the next announcement in April. QV Rank of 93 on Stockopedia, nice dividend, quality business and cheap valuation. That's my sort of stock.

[boonkoh] 13/3/2015 08:36

Investors are like lemmings. Where one goes, others are surely to follow. Maybe this is the start of Record winning many more mandates?

[topvest] 13/3/2015 08:08

And there we have it - a very sizable "return" mandate. These sort of mandates are at better fee rates. I've added some more here. If this is similar to currency for return; they only had US$2.4bn of currency for return product last year-end generating £2.7m of fees so this has to be very positive for them. I would say that if currency for return is picking-up (hopefully helped by volatility and potential interest rate increases) then they could materially increase revenues over the next few years. They did have 10 fold the return AUM at the peak of the last cycle. Anyway, in the mid 30's there is a 4% yield even if things don't develop as positively as hoped. With the EURO, £ and US$ movements in the last few months, not even mentioning the Swiss Franc this should be good for business as a currency trader you would have thought. Also very much like the management team here. They seem a sensible and committed bunch.

[topvest] 10/3/2015 21:37

All this currency volatility must be good for business. Euro rate is now 1.41 - that is a very dramatic move. About 15% in a few weeks.

[gargoyle2] 18/2/2015 09:45

More solid buying today.

[gargoyle2] 16/2/2015 11:17

Been very firm recently, and there have been some big buys today. If I was a chartist, I might be seeing a nice triangle pattern here -- resistance around 35p, but an uptrend (higher lows) over the last 6 months or so. If we can crack 35p, then (chartists might say that) we'll be back up to the early 40s pretty quickly. I'm not a chartist though, so might be seeing things. DYOR.

[tmfmayn] 19/1/2015 09:06

Just thought more on this. Swiss shares have dropped 13% since the CHF move, so while fees from CHF into GBP will have improved, the CHF-based AUM those fees are based on will have dropped with the Swiss market. So overall I think the immediate effect on REC's fees is neutral. Main issue will be whether all the hedging programmes in place worked as expected. Stronger CHF though could mean more Swiss hedging interest, as REC as often mentioned a stronger USD has sparked greater interest among US clients for hedging. Let's see.

[tmfmayn] 18/1/2015 18:53

REC issued an update on Friday, no CHF comment though. Agreed, CHF move should be positive for fees and revenue. But did clients capture the move, or were protected from it, using REC's services as expected? Hopefully all worked out as planned and clients remain content.

There is always the outside chance the lamented currency for return products captured some of this big move and can tempt new clients to some FX action with juicy fees. All told, I hope this big FX move should prompt more consideration among potential clients about using REC's services.

[topvest] 18/1/2015 18:14

Not sure there is much uncertainty here. The CHF assets are simply worth more in £ and US$. About £2bn or US$3bn; worth about £1m/annum more revenue in £ terms by my quick calculation using average fee rates.

[skyship] 18/1/2015 10:16

Personally I'm surprised that the events of last week didn't suggest to them that they should make a clarification statement as to any effect upon the business of the CHF move - positive or negative.

Likely to be a lot to come out in the wash over the next week...

I don't hold; but if I were I wouldn't add in the face of uncertainty.

[topvest] 18/1/2015 08:43

I'm surprised that there hasn't been any comment on this of late.

At 31 March 2014 they had approx CHF18bn of AUM in Swiss Francs. These are worth about 20% more in £ terms which is a nice positive move for Record.

Trading update was broadly neutral. Nice small tick-up on currency for return AUM. Passive hedging up, dynamic hedging down. Nice new multi-asset strategy mandate win. Still not really gaining traction, but with all this currency turmoil of late things must be getting more encouraging. Happy to hold and may be tempted to add a few more.

[boonkoh] 09/1/2015 13:13

Tipped in IC as their contrarian tip of the year, hence the share price rise today. Would be interesting to see if it consolidates above 36p.

[topvest] 17/12/2014 08:53

Its the currency for return product that could make a material contribution if conditions favour it again. Hopefully progress will pick-up. Happy to hold and may even add more.

[felix99] 17/12/2014 08:33

they seem to have dollar based clients and they seem to be driven by dollar strength - as then clients want to hedge their foreign assets. So it should be sailing downwind for them but dollar has been strong for a bit and I don't see any major client wins still.

I got fed up and sold out a while back with a lack of progress.