RFL - Rubik Financial

[springhill]

RUBIK COMPLETES ACQUISTION OF LEADING PROVIDER OF FINANCIAL PLANNING SOFTWARE – VISOR DESKTOP

● BROADENS RUBIK’S POSITION IN THE IFA WEALTH TECHNOLOGY MARKET
Rubik Financial Limited (ASX: RFL) today announced the completion of its purchase of Visor Desktop (Visor) from Macquarie’s Banking and Financial Services Group (Macquarie).
The acquisition of Visor, which has a leading position in the independent financial advisor (IFA) financial planning software market, marks an expansion of Rubik’s presence in wealth management.
Visor:
● has an established, loyal customer base for its software, with more than 300 IFAs using Visor as part of their financial planning systems;
● adds to Rubik’s strong annuity revenue base, generating in excess of $3.5m in recurring revenues
The Visor service is predominantly provided via a hosted offering, which will be transitioned to Rubik, following completion. A transition process has been agreed with Macquarie that will provide service continuity for Visor’s customers.
Wayne Wilson, Managing Director Wealth at Rubik, said: “This is a strategic and financially sound acquisition that extends Rubik’s customer base in the growing wealth market. We are looking forward to working with Visor’s staff and cstomers.”

 

[piggybank]

RUBIK COMPLETES ACQUISITION OF LEADING PROVIDER OF FINANCIAL PLANNING SOFTWARE – VISOR DESKTOP

Wayne Wilson, Managing Director Wealth at Rubik, said: “This is a strategic and financially sound acquisition that extends Rubik’s customer base in the growing wealth market. We are looking forward to working with Visor’s staff and customers.”

And the market likes what it sees with a close today of 24 cents, up 14% on the day.

 

[springhill]

RFL at an all time high of 28.5c with buyers pushing up and sellers at the lowest volume I have ever seen.

Exciting times!

 

[Crows]

springhill has exceeded their stored private messages quota and cannot accept further messages until they clear some space.

^ Might wanna check that out mate. Tried to send you a message but got this in reply!

Anyway, nice work on picking this one up when you did.. Seems to have a nice trend up for the moment. Wonder what it'll do once this US jazz has been sorted!

 

[VSntchr]

Presentation out today and all I can say is WOW!

Springhill you certainly picked an early winner here. I remember being alerted to this little GEM by you when it was sub 10c.
I sold out a little while ago when I felt it had reached value...I certainly did underestimate its earning potential.

Congratulations to all who held through the formative years - it looks like this one is destined to keep going.

For anyone interested in this company I thoroughly recommend reading the preso - its lengthy but worthwhile.
Of note to me was the substantial operating leverage that management are confident they can achieve (i.e. 10% revenue growth converting to potentially 30% EBITDA growth), sticky recurring revenue and the confidence of management in their product.

 

[ricee007]

I had the chance to buy at $.255 and regret not doing so... Might see if I can jump in around $.26 or so, but the depth doesn't look like that will be likely.

I didn't like all the choices of words by management though - many growth targets are described as "plausible" not "expected"... for example.

 

[VSntchr]

I had the chance to buy at $.255 and regret not doing so... Might see if I can jump in around $.26 or so, but the depth doesn't look like that will be likely.

I didn't like all the choices of words by management though - many growth targets are described as "plausible" not "expected"... for example.

If you are investing based on an understanding of the business model and like those running the company - I wouldn't let a couple of cents here or there cause any major heartache. I think its in "Common Stocks and Uncommon Profits" by Phil Fisher where he talks about avoiding squabbling over small amounts once you have done the research and are committed to the investment.

Personally I don't have a problem with the targets and the terminology used. When your talking about targets that are 2.5 years away you really can't be certain. Its the advantages of the business and its model that got me excited...
Sticky customers - CBA for example is not leaving COIN any time soon. The amount of changes that FOFA has enforced on the financial planning industry has left many planners at these big institutions very frustrated and the last thing I can see them doing is to change the provider of the BACKBONE of their operations.
Operating leverage - as the company has a 85%+ fixed cost base, incremental revenue is very valuable to the bottom line.

 

[ricee007]

Hmm, going through my records, it was .245 i could have got in at.

EDIT:-Yes, you do make a good point about quibbling over a few cents... though, 24.5c to a high of 28c is a nice 14% capital gain I missed out on.

But you are right, the difference between 27c (being first in line) and 26c (behind 7 buyers) isn't massive... okay, I've put in a medium size buy (in the context of my portfolio).

Cheers mate

 

[springhill]

ASX Announcement – Sales Disclosure - New contract for “Bank-in-a Box” core banking system

Rubik Financial Ltd (ASX:RFL), the ASX listed global provider of financial technology and software, today
announces a new contract to provide a “Bank-in-a Box” (“BIAB”) hosted core banking solution to a specialist
client, operating in Australian and Global markets.

Whilst contract confidentiality precludes specific detail, Rubik advises that;
- Implementation has started and the system is planned to go live in the 2014 calendar year
- The system includes Rubik’s internet, mobile banking, internet security and cards management
software integrated with the Temenos T24 core banking system
- The contract is a multi-year contract of 5-8 years. It does not impact on FY13/14 earnings guidance
but could have a material effect on FY14/15 earnings.
Dr Ken Carr, Managing Director, Banking said, “our hosted bank-in-a- box offer is unique and we believe
attractive to existing Approved Deposit Institutions as well as new or specialist participants in the Australian
Financial Services industry. It is pleasing therefore to enter into our first contract for a specialist entrant. The
rapid deployment and pay as you go fee structure enabled by our hosted software as a service represent
important benefits to our client’s growth plan.”

 

[piggybank]

Daily P&F Update:-

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[springhill]

RFL hit an all time high of 36c today and closed just off its peak at 35.5c.

RFL has provided spectacular returns since its identification at the 5c range.

The SP rise has been steady and consistent, rather than a meteoric rise - followed by an equally spectacular crash.

There is still much upside potential to RFL, with the companies having signed contracts for products yet to be known publicly.

Recent acquisitions look to be providing RFL the ability to approach small, medium & large financial institutions with a multi-faceted package of banking/technology software products.

RFL has stated ambitions of being in the ASX300 within a 3 year period. This would require, at current share issuance levels, a share price of $3.

What are the catalysts for such a scenario? A contract with one of Australia's big 4 banks (possibly, but less likely a major international financial institution) or a rapidly accelarating profit - leading to removal of current debt and an increasing cash reserve.

Speaking hypothetically, if memory serves me correctly RFL to count CBA as one of their cliental with a small product line - this could provide the foot in the door for a larger system (more earnings accreditive) to be pitched to CBA.

Would love to hear others' thoughts on my musings, or their own opinions on where major share price increases coulod be realised from.....

 

[ricee007]

Yep, look, I'm a believer in RFL.

I did just sell out though... made my 25% gain in a reasonably short period of time.... noticed no news released lately and a very significant increase in SP..... so I ran.

Can definitely see it higher by the time the next AGM comes around.... but would be surprised if it didn't at some stage get below $.355.

I'd look at getting back in at, say, 28c if possible... but I doubt I'll ever get the chance.

 

[springhill]

RFL hits a new all-time high intraday of 39c, pre this annoucement. End of day close was still a respectable 36c.

Collaboration Between Advisers and Mortgage Brokers

Rubik Financial Limited (Rubik, ASX:RFL) today announced a new interface that integrates its wealth planning software COIN with Stargate Technologies’ loan management tool, SymmetryCRM, used by over 2,500 Australian mortgage brokers.
The interface will initially allow financial planners using COIN and mortgage brokers using Symmetry to push client information to each other’s respective platform.
It will include over 100 data fields, allowing for simple cross-referrals, saved data entry time and a seamless financial management experience for the customer. Access to the interface will depend on collaboration agreements in place between planners and brokers.
Wayne Wilson, Rubik Managing Director Wealth, said the specially developed interface reflects the more holistic approach to debt management applied by brokers, and the increased focus on client acquisition for planning groups.
“We are delighted to work with Stargate Technologies to allow greater collaboration between advisers and mortgage brokers that enhances their ability to target, qualify and service clients,” Mr Wilson said.
“This is the first initiative that we and Stargate Technologies have developed for our combined market of professionals who operate highly complimentary businesses, and are likely to work more closely in the future as markets evolve.”
Brett Spencer, Stargate Technologies CEO, said the interface marks a big step in connecting two distinct segments of the financial services sector.
“We have worked effectively with the Rubik team to build a solution that brings together financial planning and mortgage broking through the sharing of critical information that would otherwise remain underutilised in siloes,” Mr Spencer said.
“We look forward to potential future projects with Rubik that allow for further collaboration between financial services segments.”

Are there any members on this forum who work in these fields that would care to share an opinion?
Any opinions are welcome, whether they have employment in this field, or not.......

 

[VSntchr]

RFL hits a new all-time high intraday of 39c, pre this annoucement. End of day close was still a respectable 36c.


Are there any members on this forum who work in these fields that would care to share an opinion?
Any opinions are welcome, whether they have employment in this field, or not.......

Spent a year working with COIN, and the firm I was working for utilised it as a key part of their operation. In saying that however, the company and the employees barely scratched the surface of what the software is capable of....

 

[piggybank]

Closed today @ 40.5c (up just over 5%) on volume of 1.5 million.

Rubik and Stargate’s COIN/SymmetryCRM Interface Allows Collaboration Between Advisers and Mortgage Brokers

Sydney, 14 February 2014 - Rubik Financial Limited (Rubik, ASX:RFL) today announced a new interface that integrates its wealth planning software COIN with Stargate Technologies’ loan management tool, SymmetryCRM, used by over 2,500 Australian mortgage brokers. The interface will initially allow financial planners using COIN and mortgage brokers using Symmetry to push client information to each other’s respective platform.

It will include over 100 data fields, allowing for simple cross-referrals, saved data entry time and a seamless financial management experience for the customer. Access to the interface will depend on collaboration agreements in place between planners and brokers. Wayne Wilson, Rubik Managing Director Wealth, said the specially developed interface reflects the more holistic approach to debt management applied by brokers, and the increased focus on...

The remainder of the announcement can be read here:- http://stocknessmonster.com/news-item?S=RFL&E=ASX&N=667792

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[piggybank]

P&F Daily Update:-

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[piggybank]

Broke out of recent resistance (of 45c) today. It eventually closed at 50c - it hasn't been this high in 12 years so something must be going right

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[VSntchr]

Yep, the presentation last night (not market sensitive ) states they are looking closely at two mortgage selling platforms. This has come due to their clientelle asking for this functionality.

They are positioning themselves as a flexible provider of financial services software and the string of acquisitions recently is increasing bolt-on customers which hopefully will become part of their recurring revenue base over time.

Broker coverage has been increasing and the run of presentations has some hints that a capital raising may not be too far away (assuming the mortgage acquisitions are material in size - which I am not too sure).

The only thing I hate about this stock is the poor way I have managed my capital regarding my investment in it!

 

[springhill]

The only thing I hate about this stock is the poor way I have managed my capital regarding my investment in it!

What would you have done differently VS?

Most having been in this stock at some time or another would have some kind of regret, unless they bought at sub 5c and have held right through.

My average purchase was just over 5c and I thought I was pretty clever selling half at 12c-ish.

Have held the free carry ever since.

Am I happy I am in the position that I am in now, of course.

Do I have regrets? In hindsight, it is easy to ponder variables.

My other question , how do you plan to proceed from here?

 

[herzy]

What would you have done differently VS?

Most having been in this stock at some time or another would have some kind of regret, unless they bought at sub 5c and have held right through.

My average purchase was just over 5c and I thought I was pretty clever selling half at 12c-ish.

Have held the free carry ever since.

Am I happy I am in the position that I am in now, of course.

Do I have regrets? In hindsight, it is easy to ponder variables.

My other question , how do you plan to proceed from here?

Thanks for the honest answer. I'm relatively inexperienced, so it's nice to know not everybody does everything perfectly every time - which is the impression you can get sometimes on these forums.

I bought in hesitantly (due to the recent jump from 5) at about 8 cents. Still holding. Bought another parcel at 26 or so, when it seemed ot be ranging between 26 and 30 - the logic was if it goes back to 30 I'll sell and have 10% extra free carry (which I did) and I didn't think it would go down / was happy to hold long term anyway.

I regretted selling at 30c for a quick buck almost as soon as I did, but even in hindsight it was the right decision, followed my plan, added to my holdings a little, etc...