On Wednesday morning, it has been reported that senior management at stockbroker AJ Bell PLC (LON: AJB) have cashed in on a share sale.
AJ Bell is a public limited company that provides online investment platforms and stockbroker services.
Shares of AJ Bell slipped 1.48% to 399p. 11/12/19 9:58BST.
Last week, AJ Bell saw their shares dip despite posting an impressive full year report.
The Company’s profit before tax jumped 33% year-on-year to £37.7 million. This was led by a revenue bounce of 17%, up to £104.9 million, alongside a 17% rise in retail customers, to 232,066.
AJ Bell continued listing its successes, telling readers that its AUA rose 13% to £52.3 billion, while its balance sheet performed a £12.1 billion hike to £86.1 billion, and its customer retention rate increased by 0.3% to 95.4%.
Today, the FTSE250 listed firm have seen their senior management selling ip to 6.4 million shares.
Numis Securities Ltd reported that directors, senior managers and other employees had sold shares valued at £25 million, equating a 1.6% stake in AJ Bell.
Early on Wednesday morning, the shares were sold at 400p, netting the sellers £25.7 million in total. AJ Bell commented that they will not be gaining any proceeds from the sales as they are existing shares.
Following a period of impressive trading for AJ Bell, the decision to cash in on shares comes quite abruptly.
It seems that shareholders and the market have not responded too significantly to the announcement as shares have only dipped modestly.
AJ Bell can keep a confident outlook for 2020 as the year reaches it close, and certainly with the update provided last week, there is plenty for AJ Bell to look forward to in the next calendar year.
AJ Bell, seem to have performed well in a relatively tough market. Last week, Moody’s cut the UK Banking sector outlook from stable to negative.
Despite a host of poor performances from rivals such as Monks Investment Trust who said that they underperformed last week, shareholders should remain optimistic for AJ Bell.