Revenue is basically strongly related to FUM, however there’s an...

Revenue is basically strongly related to FUM, however there’s an occasion bonus reward for certain funds that exceed a predetermined target.

As for expenses when expanding operations, this in theory should increase much slower than the FUM. However, I’ve seen the company needs to add extra layers of staff (mind you, they were at one stage under staffed). Please note that 6 years ago their management fees were insanely high and have been trimmed significantly from an average of 2.2% of FUM to 1.2-1.3% of FUM. Not to mention pay rises or progression of staff pay and the sub contracted costs of processing new members. My biggest concern is the greed of board members to claim a massive increase in remuneration every 2-3 years. I’m highly confident their work load or responsibilities haven’t gone up proportionally to their increase in pay. You can check out their greed by looking at the voting resolutions with respect to board remuneration.