This is the end part of a post found on sharetrader nz credit to...

This is the end part of a post found on sharetrader nz credit to Wolf.

Yes, that is one of the risks in financial companies. Every company will be affected in a share market slump.
In a recent report management said "FID’s diversified funds have limited exposure to China and Greece", So no they aren't mainly invested in the Asian markets.
In fact on their website you can see all their funds/performance and details.
As a financial service company and fund management provider, FID’s performance is tied largely to the performance of equity markets. During the 2008 financial crisis financial service companies saw huge declines in market capitalisations and many collapsed. This was more related to the poor regulations but a similar crisis would have a large negative effect on FID. During the 2008-2009 financial year FID’s net profit fell 48% from $6.3m to $3.3m due to a decline in funds under advice, administration and management. Where the market volatility deterred individual investors and revenue was affected by the fall in fund’s value. After surviving and actually turning a profit in the 2008 crisis it seems likely that they would be able to do so again. As management said in the 2009 annual report “Fiducian has been built to withstand external pressures”. In addition with a large amount of cash well above the required amount by regulation they are more prepared than alot of financial service companies.