Fiducian’s record profit despite market fall
Fiducian Portfolio Services has recorded a profit increase of over $2 million in funds management over the last half year, despite a fall in the valuation of investment funds impacting on management fees at the fund manager.
Revenues in funds management at Fiducian rose from $23 million to $26 million in the second half of this year, while financial planning revenue rose almost $500,000 to over $8.2 million.
A net profit of more than $6 million will go to Fiducian members, an increase of almost $1 million since last year. A dividend of 6.5 cents per share will be distributed to shareholders as a result of the profit increase.
Indy Singh, managing director of Fiducian Portfolio Services, said the combination of low costs and diversification led to the profit, which would have been higher if the market hadn’t fallen.
“We’re just keeping a tight watch on costs, and our model seems to be working,” he said.
“It’s the diversification that’s really protected us,” Singh added.
Fiducian shareholders will release further information in the joint report of the chairman and managing director next week.
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