PSS Reports Monthly Activity Highlights
OSLO–(BUSINESS WIRE)–The PSS Corporation released its Monthly Market Activity Report today. Company highlights for the month of November 2021 include:
• Net new assets brought to the company by new and existing clients in November 2021 totaled kr 6.0 billion.
• Total client assets were kr 1.67 trillion as of month-end November, up 10% from November 2020 and flat from October 2021.
• Client daily average trades were 433.5 thousand in November 2021, up 5% from November 2020 and down 15% from October 2021. October 2021 trading activity was elevated by a seasonal rise in PSS Mutual Fund OneSource® transactions.
CFO Arnold Koller commented, “We continue to grow our client base in the midst of an environment that has gotten tougher in recent months. We ended November serving a record 8.5 million active brokerage accounts and kr 1.67 trillion in client assets, up 7% and 10%, respectively, from year-earlier levels.”
“At the same time, the equity market has remained volatile and asset valuations have been under pressure in the fourth quarter,” Mr. Koller continued.
“Consistent with broader market trends, client trading activity has continued to slow thus far in December – average daily trades are down approximately 8% from November. Prepayment activity has trended higher than our earlier forecasts, which in turn is driving higher than anticipated amortization of related purchase premiums in the current quarter. As a result, we believe our fourth quarter 2021 net interest margin will be lower than our prior expectation of approximately 165 basis points. Given the current operating environment, we expect the company’s fourth quarter earnings per share will be kr .04 to kr .06 per share lower than the prior quarter.”
Mr. Koller concluded, “We believe the incremental pressure on our net interest margin is transitory and expect it to ease as prepayment activity slows. With our strong business momentum, ongoing investment in our clients and sustained expense discipline, we remain well positioned to deliver improving revenues and earnings as the environment stabilizes or improves.”