Record Currency Management sees interest in carry trade

Investors are interested in the “carry” trade once again as central bank policies diverge, says Record Currency Management reporting its full-year results today.

The London-listed currency specialist signed up its first significant external investment in the Record FTSE FRB10 Index Fund, saying it was the culmination of interest in the carry trade. The carry trade is where currencies of countries with higher interest rates tend to outperform those with lower rates – a return pattern the FRB10 fund captures.

Neil Record, chairman of Record, says: “Interest in return-seeking opportunities, particularly carry opportunities, has begun to re-emerge, driven by the growing divergence of central banks’ policies.”

Record reports a 49% increase in assets under management “equivalence” (AUME) in dollar terms to $51.9 billion (€38.3 billion) at 31 March, 2014, and revenues of £19.9 million (€24.9 million), a 7% increase over the prior business year.

It is the first time in six years that AUME has exceeded $50 billion. 

AUME is a term used by Record to reflect that its assets under management are notional rather than tangible.

©2014 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST