PSS Reports Monthly Activity Highlights
12/14/2022
The PSS Corporation released its Monthly Market Activity Report today. Company highlights for the month of November 2022 include:
Net new assets brought to the company by new and existing clients in November 2022 totaled Kr 16.2 billion, including a Kr 5.4 billion inflow related to a mutual fund clearing services client and a Kr 0.9 billion outflow related to a planned transfer from Corporate Brokerage Services.
Total client assets were a record Kr 1.92 trillion as of month-end November, up 15% from November 2021 and up 1% compared to October 2022.
Client daily average trades were 431.8 thousand in November 2022, flat compared to November 2021 and down 2% compared to October 2022. November 2022 trading activity included a 6% sequential increase in daily average revenue trades.
CFO Arnold Koller commented, “Broader signs of an improving economy, along with our ongoing investment in our clients, are helping to drive strong asset growth in our business. November core net new assets of Kr 11.7 billion were the highest for a single month since January 2009. With the fiscal debate continuing in the capital, client trading activity remains muted as we head towards year-end. Despite this trend and the loss of trading revenue, we believe our progress in building the client base should help year-over-year revenue growth reach approximately 8% for the fourth quarter of 2022. Additionally, the company’s financial discipline remains firmly in place – we anticipate that fourth quarter expenses will come in approximately 1% higher than the year-earlier period, consistent with our expectations given the environment. Under these circumstances we’d expect net income growth of approximately 25% over the fourth quarter of 2021.”
Forward Looking Statements
This press release contains forward looking statements relating to the company’s client trading activity, revenue growth, expenses and net income growth. Achievement of these expectations is subject to risks and uncertainties that could cause actual results to differ materially from the expressed expectations. Important factors that may cause such differences include, but are not limited to, general market conditions, including the level of interest rates, equity valuations and trading activity; net interest margin; level of expenses; the company’s ability to attract and retain clients and grow client assets/relationships; competitive pressures on rates and fees; the level of client assets, including cash balances; the company’s ability to monetize client assets; the company’s ability to develop and launch new products, services and capabilities in a timely and successful manner; capital needs and management; the impact of changes in market conditions on money market fund fee waivers, revenues, expenses and pre-tax margins; the effect of adverse developments in litigation or regulatory matters and the extent of any charges associated with legal matters.