Jarvis Securities Share Discussion Threads

[melton john] 14/3/2023 16:10

I've been very busy since the results were published so initially I took it that all the bad news was in the price and there was nothing new to concern us. There are a couple of comments that try as I might I can't understand so can the authors explain in a bit more detail.
1, Shanklin, "the fee income number in Note 3 suggests a lot more negative stuff is going on".
2, Poacher45, I might be being thick but I just don't get your point.

[tenapen] 11/3/2023 14:53

Saving on a staple - very good.


Every mickle make's a muckle.

[1hroy] 11/3/2023 13:34

Obviously or maybe some money laundering may have taken place or risk of it occuring

[tenapen] 11/3/2023 11:19

Also, if anyone is going to the AGM ! Please Ask how they, the management, who take big wages, took thier eye off the running of the company and left it open to criminality ?.

Q; will heads roll for this incompetence ?
A; No

[thrugelmir] 10/3/2023 21:16

Attend the AGM if you don't understand the business model and question the board directly. Better than simply assuming. That's a sure way of getting your fingers burnt trading individual shares.

[maddox] 09/3/2023 11:12

JIM are suffering from highly inept Regulators. Rather than tackle the firms that they have concerns about directly - they pursue JIM that provides the platform on which they operate?!? As a consequence the jettisoned firms have just moved to a different provider - so what is the point of that?

[poacher45] 09/3/2023 10:28

Since the interim report revenue and profits are roughly the same as the first half.

[shanklin] 09/3/2023 09:19

IMHO, just looking at the fee income number in Note 3 suggests a lot more negative stuff is going on than has been indicated by the text at the top of the RNS.

[saucepan] 09/3/2023 09:14

fwiw: In consequence of the "skilled person" investigation, I personally am in the process of moving a SIPP held with Jarvis to another provider. To me, it does not seem worth the risk, however small, of continuing to keep my assets with a Company where questions have been raised about financial propriety/management.

How many others vote with their feet in the way that I have remains to be seen, but it is not inconceivable that a future drop in client numbers could prove very ugly.

[tiswas] 09/3/2023 09:10

I have traded this from time to time but now firmly down overall following this update.

With the Grant's holding over 50% I am hoping that they know what they are doing and have shareholders interests at heart. If it is a business in decline I wonder if they have had opportunties to sell out to one of the larger brokers and now regret it. Or is that still a possibility where the buyer could achieve economies of scale?

They have taken a big hit to net worth but with salary and dividend income I wonder if they are even bothered?

[shanklin] 09/3/2023 08:56

From where though? The remaining business may be stronger and more resilient but what fraction of the 2021 business will it comprise. The fee income looks like it could be halved from then IMHO?

[n0rbie] 09/3/2023 08:54

“ I am confident that the business will emerge financially stronger and more resilient as a result of this year, and whilst we are currently experiencing a period of change the future of Jarvis is bright.”

[shanklin] 09/3/2023 08:42

p45, I agree re interest income in terms of the margin achievable.

However, both the fee and commission income being down this heavily, suggest that not only were market trading volumes lower but that they have had a big reduction in clients who pay fees.

Since 2016, there had never been a reduction in fee income and now we see one of 13.9%, presumably all due to the offboarding of clents since the 16-Sep-22 RNS. If we annualise that reduction, I wonder just what proportion of the Model B clients have been ditched. To be on the safe side, should we assume 2023 fee income will be half that of 2021?

This will then have a knock on effect on commissions and interest income, which I am find more difficult to model, as I don't know the proportion of the trading/cash balances they were providing.

[poacher45] 09/3/2023 08:17

With the interest income mainly being made in the last quarter. It bodes well for this year.

[shanklin] 09/3/2023 07:55

For the sake of clarity, in comparison with note 3 I had expected
interest income 5.7m, Commissions 4.4m. Fees 4.1m, Total 14.2m
So I was just under on the interest income but well over on the other two. I had not looked at the impact the investigation might have on ongoing business.

The other useful number is "Cash under administration – annual average balance", which is normally in the final results when they are posted on the JIM website. Presumably this will be down for the first time ever.

[tenapen] 09/3/2023 07:28

:::GROAN:::

[shanklin] 09/3/2023 07:25

Blimey, I sold on the investigation announcement at an average just under 150p, but obviously still follow JIM. Had thought my selling was probably a mistake

Must admit I am very surprised at this big a fall in earning and more significantly clients/revenues

[tiswas] 08/3/2023 12:47

Looks like results tomorrow going by website. Stockopedia had it down as today.

[tiswas] 03/3/2023 15:23

Thrug

I think you are confused.

The 4;1 share split was in October 2020.

In August 2021 the shares went to over £3.50.

They went below £1.00 on the FCA news.

Today they are £1.67

What have I got wrong?

[thrugelmir] 03/3/2023 14:54

Remember the all time high followed a 4 for one share split. Also there have been frequent special dividends when excess capital has been returned. Charts can be very misleading at first glance.

[thrugelmir] 03/3/2023 14:52

@Tiswas. I was performing manual valuations of OEICS over 4 decades ago. Trying to help Price Waterhouse auditors understand UK Gilts. Time moves on. Yet the same old lack of understanding regularly surfaces, Despite the amount of information now readily accessible to investors.

[tiswas] 24/2/2023 16:53

Thug
Well I have managed ok being a full time investor for the last 20 years but many thanks for your opinion anyway.

[thrugelmir] 24/2/2023 16:35

Closed period pending publication of annual results. Not responsibility of a company to second guess why it's shares are being traded. The episode last year clearly demonstrates the lack of comprehension when it comes to business matters. Anybody requiring/expecting constant information/reassurance shouldn't be trading individual shares in my personal opinion.

[tiswas] 24/2/2023 14:16

It looks like that delayed trade of 78041 at 150 did the damage yesterday.

Would have thought the move yesterday was sufficient for a "we know of no reason" rns paricularly when we are awaiting news.

So who and why needed to get out that quickly?