Record PLC (LSE:REC), the specialist currency and derivatives manager, saw assets under management equivalents (AUME) grow 5% in the April-June quarter.
AUME at the end of June stood at US$84.5bn, up from US$80.1bn at the end of March, with net inflows during the quarter – the first of the company’s fiscal year – totalling US$1.8bn. This was split evenly between currency for return and passive hedging strategies.
Record had 87 clients at the end of June, down from 89 three months earlier. The net decrease in clients in the quarter is linked to the final outflows from the closure of two legacy funds for which individual AUME amounts were negligible.
Fee rates remained broadly unchanged from the previous quarter, Record said.
"Since assuming the role of chief executive officer (CEO) last year, a key objective has been the diversification of Record's business through the introduction of new and relevant investment products driven by client demand and which are able to attract higher margins,” said Leslie Hill, who took over CEO in February 2020.
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"One way to achieve this aim is to build strategic partnerships, which aligns with our approach of building long-standing and trusted relationships with our clients. This provides us with opportunities to listen to their ideas, understand their investment concerns, and ultimately to deliver new products and solutions to a broader audience and at higher margins. The successful launch of the Record Emerging Market Sustainable Finance Fund on 29 June, alongside UBS Wealth Management, clearly illustrates the benefits of this approach and combines our currency and derivatives expertise with the differentiated investment knowledge and distribution capability of UBS,” Hill said.
“The fund launch marks a first important milestone in delivering on our plan to create more products in collaboration with key clients and partners. Of equal importance, this marks Record's first step into the sustainable investment arena, which is anticipated to be a key element of Record's future growth,” he added.