Little more than a fortnight after SS&C pulled back from its bid for Link Administration Holdings, the superannuation administrator has pointed to the likelihood of a better than expected half-year financial result next month.
Link Administration Holdings has announced to the Australian Securities Exchange (ASX) that positive momentum across the business during December had generated operating earnings before interest and tax (EBIT) outcome of $2 million above guidance.
The main driver for the better than expected result was Link’s property settlements business PEXA which delivered record transaction volumes.
Commenting on the improved half-year outlook, Link chief executive and managing director, Vivek Bhatia noted that revenue was above expectations and, together with continued control of operating expenses, resulted in a higher that forecast operating EBIT.
“PEXA continues to build on its strong business model benefiting from increased transaction volumes on the PEXA exchange and increased penetration of the national electronic conveyancing market,” he said.
PEXA is regarded as having been a key motivator of the recent private equity bid for Link and that of SS&C.
A member of the super fund has approached ASIC to investigate potentially misleading or deceptive representations by UniSuper regarding the holdings of its sustainable portfolios.
The median growth fund delivered 1.9 per cent in March, adding to the “stunning” rally that has seen super funds gain 11 per cent since November.
Vanguard has affirmed its support for the current super performance test, emphasising the importance of keeping the process straightforward.
While some superannuation funds have gone down the route of internalisation, others say they favour ‘smart partnering’ with external managers for diversification appeal.
Add new comment