Jarvis Securities Share Discussion Threads

[taxtaxi] 17/4/2020 16:30

Can anyone please explain to me why the bulk of the revenue comes from gross interest earnings from treasury deposits, cash and overdrawn client accounts? I take it commission and fees relate to actual trading activity revenue? Thanks

[shanklin] 15/4/2020 08:05

Hi tenapen

Would have bought much earlier but the thing that swung it for me was the minimal effect on interest income per yesterday's RNS.

[tenapen] 15/4/2020 07:57

Morning Shanklin & tightfist, All.

Like many people im sat at home reading these boards and its been the same story since C-19 broke. People are waiting in line on the telephone as the on-line dealing is at capacity !. The high trade volumes can also be seen in the FT link [below].

All we had been waiting for was the news that Jarvis was to continue with paying its dividend.

Frustrating for me, as i had been seeing and reading this happen and yet i have had no money to top up, Ho Hum.

Regards.

[shanklin] 15/4/2020 07:37

tightfist

I had to wait about 15 minutes on the HL. phone line yesterday before I spoke with a broker (or whatever they are called). How long have your waits been?

[tightfist] 14/4/2020 20:57

I have used JIM telephone service for the last 20 years........ I have spent many many hours in a queue, don't know about their current capacity, but NEVER had to wait like this.......

[shanklin] 14/4/2020 12:45

Ended up phoning HL this morning in what proved to be an unsuccessful attempt to buy JIM shares as they were so illiquid online. Asked about how much higher (telephone?) dealing volumes are compared to normal and he said they are currently about 5 times normal levels. I take this as a good sign for JIM as it shows the general level of demand.

[cwa1] 14/4/2020 07:20

I think this is just about as good as it gets under the circumstances...

Jarvis Securities plc Letter to Shareholders
14/04/2020 7:00am
UK Regulatory (RNS & others)

Jarvis Securities (LSE:JIM)
Intraday Stock Chart
Today : Tuesday 14 April 2020

Click Here for more Jarvis Securities Charts.
TIDMJIM

RNS Number : 4299J

Jarvis Securities plc

14 April 2020

Jarvis Securities Plc

Registration number 5107012

Share code on AIM: JIM

Jarvis Securities Plc ("Jarvis" or the "Company")

Letter to Shareholders

The Company has today dispatched the following letter to shareholders:

Dear Shareholder,

Due to the recent spate of announcements by companies cancelling or deferring payment of their dividends I thought I would take the opportunity to personally provide reassurance on Jarvis' position and to provide a general update on the Company's operations in light of COVID 19.

Our disaster recovery planning has proved to be robust and we have been able to continue to offer a full service to both our retail and institutional clients. The majority of our staff are working remotely using the IT infrastructure we have in place. We have maintained a minimal staff presence in the office only where absolutely required and have been able to adhere to the government's recommended safe working practices. We are well set to continue to operate in this fashion for the foreseeable future. At the same time, we have seen an increase in trade volumes following the election result in December and the market volatility as a consequence of COVID 19; and believe the reduction in the Bank of England base rate should have a negligible effect on interest income. We look forward to providing a more detailed update in due course but remain optimistic for the future.

The Company confirms its intentions to pay an interim dividend on or around 11 June 2020, to shareholders on the register at 22 May 2020, in line with the Company's dividend policy and a further announcement will be made when this dividend is declared.

Finally, I would like to reassure Jarvis' shareholders and wider stakeholders that despite the seriousness of the current situation globally and the effect this will have for the economy we are not seeing a detrimental impact on the Jarvis business model at this time.

[tenapen] 12/4/2020 14:07

Thank you, steelwatch and John, much appreciated.


An interview with the iii / interactive investor boss


:-)

[melton john] 09/4/2020 22:57

All the best tenapen. You take care too.

[steelwatch] 09/4/2020 22:34

Happy Easter to you ten 🐇 #StayHomeStaySafe

[tenapen] 09/4/2020 19:51

34 straight days of trades above 1billion

6 of those days look to have topped 2billion

[See the above FT link]


With the 2nd quarter divi due on the 14th May

Q2 2020
Latest Announcement Date: 14 May 2020
Ex Date: 21 May 2020
Record Date: 22 May 2020
Last Date for DRIP Elections: 28 May 2020, 3:00pm
Payment Date: 11 June 2020


Stay safe & take care.
Happy Easter

[tenapen] 06/4/2020 08:39

... and now we have to look forward to the 'buy back' as people go 'bottom fishing'.

A boom for brokers !.


Still no 'magic money tree' for me ! but hae ho

Regards.

[tenapen] 06/4/2020 08:36

Asset Management

UK investors’ coronavirus stampede is three times worse than Brexit
Outflows easily surpassed the previous record high for withdrawals, set when the UK voted to leave the EU in 2016

Cont...

[tenapen] 28/3/2020 14:05

Page 3; revenue risk.

The Jarvis business model has several income streams. These are primarily commission income, interest income and fixed fee income. As such the business is not overly reliant on any one particular revenue stream. The board are also committed to increasing the diversity of revenue streams as opportunities arise and without compromising the focus of the business through undue complexity.

[greg the grinch] 26/3/2020 16:48

Having checked interest income over previous years it seems virtually immune from interest rate moves - e.g. previous BoE move to 0.25% in Aug 2016 had no significant effect on income. :o) Trades volumes and account numbers should significantly boost profits - interest income loss should be minimal.

I am going to assume that interest rates significantly above recent ones i.e. a move to 2%, will make a significant difference.

I suggest checking the accounts yourself :o)

GLA

[greg the grinch] 26/3/2020 16:08

My thoughts are the volume of trades will outweigh most if not all of the interest losses.

But, I bought for the long term because I reckon the number of new accounts will rise - zero cost ISA's in the current pension environment will grow plus I think in a few years JIM could well be bought out.

The interest rates wont be low for too long - long term this income should even increase in value. BoE longer term target 2% - that should have an effect.

In summary, I bought with a 3-5 year view - more accounts and higher interest rates - and a TP of £10.

GLA

[steelwatch] 26/3/2020 12:45

MPC kept base rate static today, where some predictions were for it to be cut to negative, which may explain the slight share price recovery this morning

[tenapen] 25/3/2020 18:03

:::Edited:::

I agree there will be a lose of income from such low interest rates. The huge increase in trade volumes will surpass any lose ...

Regards.

[shanklin] 25/3/2020 17:05

Note 3

Gross interest earned from treasury deposits, cash at bank and overdrawn client accounts

4,232,976

Total revenue

10,521,806

[tenapen] 25/3/2020 17:00

Hi Shanklin,
I can not see the figures you give !. Please post copy/past from the recent results and so pointing me in the right direction for me to look closer. Cheers.

Regards

[shanklin] 25/3/2020 15:39

Much as I like JIM, surely the interest income will largely disappear with the reduction in the base rate.

Given that interest income was 40% of total revenue in 2019, that is say 35% of last year's income which is just going to disappear. Some of that will probably be recovered in increased trading and increased fees for third party trade processing. So may be 30% down over all?

Thoughts welcome?

[tenapen] 16/3/2020 18:15

:::CRASH:::



The British 'stiff upper lip' has gone and the bulldog breed is in full blown panic over a flu virus !.

Toilet paper anyone :-/

[tenapen] 12/3/2020 18:09

Sadly no 'magic money tree' for me to raid and buy more JIM shares.

The volumes have been high for nearly three weeks already. Today 2billion trades were marked for the 3rd time in this period with the other days mostly breaking 1billion trades - See FT link below.

Regards.



-------

No glossy results folder for Jarvis, A4 paper and a staple will do. Reading the Chairman's statement the last paragraph / sentences stands out,

Quote; "The business remains highly cash generative which will enable us to continue returning cash to shareholders through the regular quarterly dividends and as reserves permit, special dividend payments assuming funds are not required for working capital or acquisitions.”

it's the first time they have used the word 'acquisition' !

[tightfist] 12/3/2020 15:10

Thanks MJ, maybe I should try on-line dealing but at just £2 (I think) per trade saving I have found the connection of phone dealing preferable - maybe I am just a creature of habit!.Apparently they are "very busy", surprise surprise! Now to read share price Angel's note, tightfist

[steelwatch] 12/3/2020 12:28

Back door. Not sure how long it will last. Used to be on JIM's website, but you now have to register.

Dividend cash is now in my ISA a/c by the way.