Beacon Financial Services has become the latest investment management business to suffer in the wake of a slowing economy and the September 11 tragedy in the US, announcing an expected profit downturn in the second half of 2001.
Beacon Financial Services, which is not associated in any way with Beacon Investment Management Services, has released prior to its annual general meeting a statement informing the Australian Stock Exchange (ASX) that it is not expecting a profit for the second half of the year.
“The profit for the half year to December 31, 2001 will not meet expectations from the previous corresponding period. A profit for the half year period will not be possible,” the statement says.
The group has attributed the expected absence of profit to the effect of market movements since June 30, 2001 on its portfolio, identifying the September 11 terrorist attacks in the United States as an additional factor.
“This has been caused singularly by the effect of market movements since June 30, 2001 on the company’s portfolio. These movements have been exacerbated by the events of September 11, 2001,” the statement adds.
