Record Regulatory News (REC)

18 OCTOBER 2013

RECORD PLC

SECOND QUARTER TRADING UPDATE

Record plc ("Record" or the "Company"), the specialist currency manager, announces today that as at 30th September 2013 the Group's assets under management equivalents ("AUME") totalled $37.7 billion (30th June 2013: $36.3 billion).

AUME expressed in Sterling as at 30th September 2013 totalled £23.3 billion (30th June 2013: £23.9 billion).

1. AUME composition

Record saw an overall increase in AUME when expressed in US Dollars whilst AUME expressed in Sterling decreased during the period between 30th June 2013 and 30th September 2013. The composition of AUME at 30th September 2013 was as follows:

Note 1: This includes $0.8 billion of Emerging Market strategies (30th June 2013: $0.8 billion).

2. AUME Movement

Net client AUME flows in the three months to 30th September 2013 by product were as follows:

Record had 46 clients at 30th September 2013, compared with 45 at 30th June 2013.

The factors other than client flows which have impacted AUME during the quarter, totalling $1.3 billion, were:

(i) Exchange rate movements: $1.5bn Exchange rate movements during the period affect the conversion of non-US Dollar mandate sizes into US Dollar AUME.

(ii) Movements in global stock and other markets: -$0.2bn Substantially all the Passive and Dynamic Hedging, and some of the Currency for Return mandates are linked to stock and other market levels. Consequently AUME is affected by movements in these markets.

Our Dynamic Hedging programmes performed as expected for US clients during the quarter. The US Dollar weakened against the basket of currencies over the quarter, and as a result the returns of the hedging programmes were negative. However, the extent of the underperformance was limited by the systematic lowering of hedge ratios across the portfolio.

For UK-based Dynamic Hedging clients the programmes also performed as expected. Sterling strengthened towards the quarter end, and as a result the programmes generated outperformance in August and September. Hedge ratios systematically increased towards the quarter end, allowing more of the Sterling strengthening to be captured as positive hedging performance.

Investment performance in Record's established Active Forward Rate Bias (FRB) product was negative during the quarter ending 30th September 2013 and for an ungeared portfolio equated to a negative return of 0.59% over the quarter (3 months to 30th June 2013: negative return of 1.18%). This compares to a positive return in the quarter of 0.67% for the FTSE Currency FRB10 index (excess return in Sterling). This difference is due to the strong performance of the Australian Dollar and New Zealand Dollar, which have a heavier weighting in the FTSE Currency FRB10 index than in Record's Active FRB product.

Investment performance in Record's Emerging Market product was negative during the quarter ending 30th September 2013 and for an un-geared portfolio equated to a negative return of 1.86% over the quarter (3 months to 30th June 2013: negative return of 2.04%).

Investment performance in Record's Multi-Strategy product, which reached its 12 month live track record in July 2013, was negative during the quarter ending 30th September 2013 and for an un-geared portfolio equated to a negative return of 0.47% over the quarter (3 months to 30th June 2013: negative return of 0.15%). Cumulative performance since inception (31st July 2012) is a positive return of 2.90% for the fourteen months to 30th September 2013.

3. AVERAGE FEE RATES

During the quarter to 30th September 2013, fee rates for all products remained broadly unchanged from the previous quarter.

4. CHIEF EXECUTIVE'S COMMENT

Chief Executive James Wood-Collins, commenting on trading, said "Overall AUME increased once again during the quarter, with the largest component being a $1.5 billion increase due to the impact of the weakening US Dollar on the conversion of non-US Dollar mandate sizes into US Dollar AUME. The Passive Hedging mandate of approximately $8 billion to $10 billion remains on-track to start during the current quarter, as previously announced.

"We continue to engage with prospective clients and investment consultants in North America and Europe, receiving interest across our product range, and participating in procurement processes. We are hopeful that continued progress in securing new mandates can be made in the current financial year."

Record will announce its half year results on 15th November 2013 and its third quarter trading update on 17th January 2014.

For further information, please contact:

Record plc Tel: +44 (0) 1753 852 222

James Wood-Collins

Steve Cullen

MHP Tel: +44 (0) 20 3128 8100

Nick Denton

John Olsen

Vicky Watkins

Notes to Editors

Record plc

Record is a specialist currency manager and provider of currency hedging services for institutional clients. Founded in 1983, Record has established a market leading position as a currency manager. Specifically, the Group has a leading position in managing Dynamic Hedging and Currency for Return for institutional clients.

The Group has three principal product lines:

- Dynamic Hedging, where Record seeks to eliminate the impact of currency movements on elements of clients' investment portfolios that are denominated in foreign currencies when these movements are expected to result in an economic loss to the client, but not to do so when they are expected to result in an economic gain;

- Passive Hedging, where Record seeks to eliminate fully or partially the economic impact of currency movements on elements of clients' investment portfolios that are denominated in foreign currencies; and

- Currency for Return, in which Record enters into currency contracts for clients with the objective of generating positive returns.

Record (LSE: REC) was admitted to trading on the London Stock Exchange on 3rd December 2007.

This announcement includes information with respect to Record's financial condition, its results of operations and business, strategy, plans and objectives. All statements in this document, other than statements of historical fact, including words such as "anticipates", "expects", "intends", "plans", "believes", "seeks", "estimates", "may", "will", "continue", "project" and similar expressions, are forward-looking statements.

These forward-looking statements are not guarantees of the Company's future performance and are subject to risks, uncertainties and assumptions that could cause the actual future results, performance or achievements of the Company to differ materially from those expressed in or implied by such forward-looking statements.

The forward-looking statements contained in this document are based on numerous assumptions regarding Record's present and future business and strategy and speak only as at the date of this announcement.

The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this announcement whether as a result of new information, future events or otherwise.