Shares in Record (REC) fell 20 per cent after the specialist currency manager announced plans to lower its fees in the face of increased competition. The immediate effect will be to trim pre-tax profits by about £1.8m. Record's chief executive James Wood-Collins explained that a higher level of new business enquiries and procurement processes has been accompanied by increased competition.
Consequently, the revised fee scales applied to new customers taking out dynamic hedging mandates will now be applied to existing customers. The company also confirmed that the passive hedging mandate announced in June has now commenced, and that the equivalent of $12bn (£7.45bn) of mandates have started since the September half-year end. Interim results will be released on 15 November.
