Contents of Non-Participatory Reports
For AKG DFM Financial Strength Assessment Reports
The information currently included in each Non-Participatory Report in AKG's series of DFM Financial Strength Assessment Reports is structured as follows:
Inside Front Cover:
About This Financial Strength Assessment
An overview and further insight into Financial Strength and AKG's viewpoint into analysis.
Table of Contents
A list of contents found inside the Report.
AKG's address, phone number, general email address and website URL.
Rating & Assessment Commentary:
- Overall Financial Strength Rating(s)
AKG’s assessment (on a scale of A, B+, B, B-, C, D) of the company’s Overall Financial Strength. See the ‘Guide to AKG Ratings’ for further details of the methodology used.
A short section consisting of bullet points which condense key contributory factors for the given rating(s) and the assessment.
- Strength Rating(s)
Further explanatory commentary specifically related to the Strength Rating(s).
- Ownership & Control
The ultimate owner of the company (or the majority owner if there is more than one owner). For UK registered companies, this information is disclosed in the company’s statutory accounts. For overseas owners, the country of domicile is also shown.
- Year Established
The year that the current corporate entity started operating, which is usually the year of incorporation.
- Country of Registration
The country where the entity is legally constituted or formed and whose laws of business and tax it has to follow in respect of that formation.
- Head Office
The address of the Head Office (usually defined as the location of the company’s most senior management. Need not necessarily be the company’s registered office address).
A contact telephone number, general email address and the URL of the brand's main website.
- Key Personnel
A short list of the senior individuals considered to be of most interest to readers, such as chief executive, finance director etc.
- Company Background
A broad overview of the general background of the company, including any significant historical changes such as predecessor companies, transfers/mergers, name changes etc.
An outline of key operational elements within the organisation, including that company's system of governance and how this is arranged.
How the organisation seeks to position itself in the market including the image it aspires to and how this is achieved. This is both currently and in terms of planned future.
The organisations exisiting proposition set (products and services) and its outlook for future development.
- Capital Resources Disclosures
A table showing, if known, the available capital resources, capital resources requirement (CRR) and excess capital resources at the end of the last three accounting periods. The CRR Coverage Ratio is also shown, being capital resources expressed as a percentage of the CRR at the end of the last three accounting periods.
- Statement of Financial Position
Previously referred to as the 'Balance Sheet', this lists the assets, current and long-term liabilties, decreases or any other significant changes in the owners' equity/ financial interest in the business, over the lastest three reporting periods.
- Income Statement
Previously referred to as the Profit and Loss Statement (or similar), this shows a company's financial performance over the last three accounting periods, specifically a summary of the revenues generated and expenses incurred (through both operating and non-operating activities) together with any tax, other income, dividend paid and ultimately profits earned and retained.
- Financial Ratios
A table analysing three key financial ratios in each of the last three accounting periods, where available; operating margin, pre-tax profit margin and employee costs as a percentage of revenue.
- Assets under Management (AuM)
Sometimes also called 'funds under management' (FUM), this is a measure of the total market value of all the financial assets which the entity manages on behalf of its clients, on the final date of each of the three reporting periods. AuM is shown at the beginning and end of the reporting period, together with inflows, outflows and market and other movements over the period. The growth rate over the period is shown as a percentage. Net flows are also shown as a percentage of the opening AuM.
- AKG Comments
Explanatory comments from AKG in respect of the tables and any other relevant financial information, shown throughout, below the relevant tables.
Further explanation into Financial Strength and AKG's focus.
- Overall Financial Strength Rating
A brief overview of AKG as an independent organisation and how it is situated within the market.