Numis financial performance hit by volatile market conditions

Writer, Stock Market Wire
Tuesday, February 5, 2019 - 09:54

Broking house Numis Corporation warned that its financial performance had been hit by a recent bout of market volatility.

In a trading update for the first four months of the year, the company said its corporate broking and advisory business was performing in line with the second half of last year, but below the comparative period.

Average deal fees remained in line on-year, but transaction volumes were significantly lower and the company had completed around 25% fewer deals.

Equities had been similarly impacted, with institutional income down 25%, reflecting depressed market activity.

The trading book was marginally loss-making for the period.

'Since the start of the financial year, UK equity indices have suffered material declines and the domestic political situation has significantly impacted investor sentiment in the UK,' Numis said.

'As a result the market backdrop has been particularly challenging for our corporate and institutional clients, which has ultimately impacted our trading performance in the first four months of the year.'

At 9:54am: (LON:NUM) Numis Corporation PLC share price was -33.5p at 239.5p


Related content

Numis warns of lower annual profit as political uncertainty saps trading activity

Broking house Numis warned that it expected to report a fall in annual profit, as political uncertainty in the U.K. continued to hurt trading volumes....

Fri, 27/09/2019 - 07:09


Numis profit slides 64% amid 'challenging market backdrop'

Financial services group Numis Corporation posted a 64% slump in first-half profit, pinned on market volatility.

Pre-tax profit for the six months through March dropped...

Fri, 03/05/2019 - 07:53


Numis profit falls 17% on higher staff costs

Broking and advisory group Numis Corporation posted a 17% fall in full-year profit after higher investment spending, including on staff, offset rising revenue.

Pre-tax profit...

Wed, 05/12/2018 - 08:32


Pressure on corporate brokers implies potential wave of M&A

Many stock market-listed corporate brokers are under pressure thanks to new regulation called MiFID II which is affecting demand for their equity research.

Before the...

Thu, 23/08/2018 - 00:00


The guru playbook: How to apply the same strategies as Warren Buffett and other famous investors 

Author: 

Many investors are fascinated by how certain investors got to be so famous, searching for the special formula that made the likes of Warren Buffett...

Thu, 12/07/2018 - 00:00