GlobeOp Financial Services, an independent provider of business process outsourcing, financial technology services and analytics to the hedge fund industry and other targeted sectors of the financial services industry, has issued a pre-close trading update relating to the first half of 2011.
Business performance has been strong during the first half of the year, says the group.
There has been a growth in Assets under Administration (AuA) reaching $174 billion as at 31 May 2011, which is an increase of 17% from $149 billion at 31 December 2010
“GlobeOps performance during the first half of 2011 has been strong, says Hans Hufschmid, Chief Executive Officer at GlobeOp. Revenues, adjusted operating profit and net income have all continued to grow. During the first five months of 2011, existing clients added new funds totalling $12 billion and new clients brought another $3 billion of assets to GlobeOp. In addition, client subscriptions were $20 billion versus redemptions and terminations of $19 billion. Fund performance added almost $8 billion to client asset balances and the impact of foreign currency exchange rates on non-US dollar-denominated funds resulted in an additional $1 billion increase in AuA.
GlobeOp say there is a continued addition of clients and expansion of revenues shown by a strong Adjusted Operating Profit with $77 million in cash as at 31 May 2011
Despite a challenging time for global markets, we are pleased with our progress so far this year, says Hufschmid. We remain focused on increasing our market share while carefully managing margins. We are investing in our business and during this period we have added to our sales and marketing efforts and invested in operations to expand our capabilities and deliver exceptional client service. We continue to win new mandates and see additional opportunities for growth. We believe we are well positioned for 2011.
(LB)