ALGER MANAGEMENT, LTD.

Company Registration Number:
08634056 (England and Wales)

Unaudited statutory accounts for the year ended 31 December 2023

Period of accounts

Start date: 1 January 2023

End date: 31 December 2023

ALGER MANAGEMENT, LTD.

Contents of the Financial Statements

for the Period Ended 31 December 2023

Directors report
Profit and loss
Balance sheet
Additional notes
Balance sheet notes

ALGER MANAGEMENT, LTD.

Directors' report period ended 31 December 2023

The directors present their report with the financial statements of the company for the period ended 31 December 2023

Principal activities of the company

The Company is a United Kingdom subsidiary of Alger Associates, Inc. (AAI), and a European distributor of, and investment advisor for certain Alger investment products, including the Alger SICAV. The Company is authorised and regulated by the Financial Conduct Authority (FCA). All of the Company’s activities during the period were conducted within the scope of permissions granted by the FCA.

Political and charitable donations

The Company made no political or charitable donations during the year and nil in 2022.

Additional information

Business reviewDetails on the Company’s performance and activities during 2023, are included in the Strategic Report on pages 2 through 4. During 2023, the Company created and staffed a subsidiary in Singapore to increase its distribution capabilities to the Asia - Pacific region. As discussed on page 16 of the financial statement notes, under Accounting Policies, the costs associated with the subsidiary are not consolidated with the Company’s financial results.Going ConcernThe board has a more than reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future, including the next twelve months from the date of the audited financial statements, and thus we continue to adopt the going concern basis of accounting in preparing the annual financial statements. This expectation is supported by:AUM and the performance of the funds. At year end 31 December 2023, the Company had £433M ($538M) in AUM however, is projecting £1.2B ($1.5B) by year ending 31 December 2024. The Company is projecting to be profitable in 2024 as the sub-advisory and support fees charged by Alger affiliates FAM, WBC and Fred Alger & Company, LLC (FAC) have been reduced as of 1 January 2024. In addition, the Company expects to see greater sales in Europe and mostly Asia Pacific due to the infrastructure now in place.Cash flows that will enable the Company to meet liabilities as they fall due. At 31 December 2023, the Company had approximately £2.0M in Cash. The Company has a low level of fixed costs which include salaries for employees, rent, accounting and other fees. As mentioned above, the reduction in support fees charged by affiliates will provide for greater liquidity. Accordingly, the Company does not foresee an issue with meeting its liabilities as they become due for the near future.Adequate regulatory capital. At 31 December 2023, the Company had approximately £1M in Total Equity. Per the Company’s Own Funds calculation at 31 December 2023 of £0.2M, the Company has a surplus of approximately £0.8M of excess equity. The Company anticipates a return to profitability in and that fixed costs, i.e., headcount, compensation, occupancy and certain professional fees will remain relatively flat throughout the year.Management’s commitment to AML. The Ultimate Parent, AAI, considers the Company as a strategic entity and will utilize the substantial resources within AAI to ensure and enhance the Company’s viability, growth, and success as a going concern for the foreseeable future. They have provided a letter of support to this effect.DividendsThe Company’s board did not approve any dividends during the year nor are there any plans to propose any dividends. No dividends were paid in 2023, or in 2022.Disclosure of information to AuditorThe Directors who held office at the date of approval of this Directors’ Report confirm that, so far as each is aware, there is no relevant audit information of which the Company’s Auditor is unaware and each director has taken all the steps that ought to have been taken as a director, including making appropriate enquiries of fellow directors and of the Company’s Auditor for that purpose, in order to be aware of any information needed by the Company’s Auditor in connection with preparing its report and to establish that Company’s Auditor is aware of that information.AuditorDeloitte LLP has been appointed as Auditor and pursuant to Section 487 of the Companies Act 2006.



Directors

The directors shown below have held office during the whole of the period from
1 January 2023 to 31 December 2023

Hal Liebes
Lord Carrington
Daniel Chung


Secretary Hal Liebes

The above report has been prepared in accordance with the special provisions in part 15 of the Companies Act 2006

This report was approved by the board of directors on
23 April 2024

And signed on behalf of the board by:
Name: Hal Liebes
Status: Secretary

ALGER MANAGEMENT, LTD.

Profit And Loss Account

for the Period Ended 31 December 2023

2023 2022


£

£
Turnover: 6,092,965 8,735,513
Cost of sales: ( 5,226,747 ) ( 7,583,431 )
Gross profit(or loss): 866,218 1,152,082
Distribution costs: ( 891,635 ) ( 1,083,812 )
Administrative expenses: ( 1,531,488 ) ( 398,470 )
Other operating income: 0
Operating profit(or loss): (1,556,905) (330,200)
Profit(or loss) before tax: (1,556,905) (330,200)
Tax: 389,226 97,224
Profit(or loss) for the financial year: (1,167,679) (232,976)

ALGER MANAGEMENT, LTD.

Balance sheet

As at 31 December 2023

Notes 2023 2022


£

£
Called up share capital not paid: 0 0
Fixed assets
Intangible assets:   0 0
Tangible assets:   0 0
Investments: 3 76 0
Total fixed assets: 76 0
Current assets
Debtors: 4 1,309,710 992,391
Cash at bank and in hand: 1,983,271 3,388,660
Investments:   0 0
Total current assets: 3,292,981 4,381,051
Net current assets (liabilities): 3,292,981 4,381,051
Total assets less current liabilities: 3,293,057 4,381,051
Creditors: amounts falling due after more than one year: 5 ( 2,328,238 ) ( 2,248,553 )
Total net assets (liabilities): 964,819 2,132,498
Capital and reserves
Called up share capital: 60,000 60,000
Share premium account: 545,007 545,007
Profit and loss account: 359,812 1,527,491
Total Shareholders' funds: 964,819 2,132,498

The notes form part of these financial statements

ALGER MANAGEMENT, LTD.

Balance sheet statements

For the year ending 31 December 2023 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

This report was approved by the board of directors on 23 April 2024
and signed on behalf of the board by:

Name: Hal Liebes
Status: Director

The notes form part of these financial statements

ALGER MANAGEMENT, LTD.

Notes to the Financial Statements

for the Period Ended 31 December 2023

  • 1. Accounting policies

    Basis of measurement and preparation

    These financial statements have been prepared in accordance with the provisions of Section 1A (Small Entities) of Financial Reporting Standard 102

    Turnover policy

    TurnoverManagement and sub-advisory fees are paid to the Company for advisory and sub-advisory services provided primarily to the Alger SICAV. Such fees are accrued monthly and are recognized as earned based on the terms of the SICAV agreements.

    Other accounting policies

    Administrative ExpensesAdministrative Expenses are recorded on an accrual basis and expensed in the period incurred.Cost of SalesThe Cost of Sales include Distribution fees which are compensation paid to third party sellers of the Alger SICAV. The fees are contractual, AUM based, and vary by share class. The Company incurs these fees as long the underlying investor holds the position in the Alger SICAV. The fees are accrued for on a monthly basis. Also included are fees paid to certain affiliates for sub-advisory services, administrative and marketing support. Sub-advisory fees are AUM based and are paid to to Fred Alger Management, LLC (FAM) Weatherbie Capital, LLC (WBC) for sub-advising on certain Alger SICAV sub-funds. The Company also pays AUM based fees to FAM for Administrative and Compliance support and Fred Alger & Company, LLC (FAC) for marketing support. These fees are discussed in greater detail in the Related Party disclosure.Mutual Fund reimbursementsCertain expenses incurred by the Alger SICAV’s in excess of stated expense limits are reimbursed by the Company generally within forty five days of receipt of an invoice. These amounts were recorded in Mutual fund reimbursement fees on the Profit and Loss and Other Comprehensive Income statement.TaxationTax on the profit or loss for the year is comprised of deferred taxes.Current tax is the expected tax payable or receivable on the taxable income or loss for the period, using tax rates enacted or substantively enacted at the balance sheet date. Deferred tax is provided on timing differences which arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.Cash Cash and cash equivalents in the years ended 31 December 2023 and 31 December 2022 comprises cash held in banks only. Debtors and creditorsDebtors and creditors are initially recognised at transaction price. Trade and other debtors are subsequently recognised at amortised cost less impairment. Foreign CurrencyTransactions in foreign currencies are translated to the Company’s functional currency of pound streling (GBP) at the foreign exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are retranslated to functional currency at the foreign exchange rate ruling at that date. Non-monetary assets and liabilities that are measured in terms of historical costs in a foreign currency are translated using the exchange rate at the date of the transaction. Non-monetary assets and liabilities denominated in foreign currencies that are stated at fair value are retranslated to the functional currency at foreign exchange rates ruling at the dates the fair value was determined. Foreign exchange differences arising on transactions are recognized in the profit and loss account. Investment in subsidiaryThe investment in subsidiary is measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored.

ALGER MANAGEMENT, LTD.

Notes to the Financial Statements

for the Period Ended 31 December 2023

  • 2. Employees

    2023 2022
    Average number of employees during the period 2 1

    Staff costsThe average number of staff for the year ended 31 December 2023 was 1.5. For the year ended 31 December 2022, the average staff numbered 1.

ALGER MANAGEMENT, LTD.

Notes to the Financial Statements

for the Period Ended 31 December 2023

3. Fixed assets investments note

The Company's Investments in subsidiary at the Balance Sheet date includes the following:Alger Management (Singapore) PTE. LTD.Registered Office: 1 Robison Road, #17-00, AIA Tower, Singapore, 048542Nature of business: Investment funds distributionClass of shares: Ordinary, 100 shares at $1 (£0.76), holding 100%

ALGER MANAGEMENT, LTD.

Notes to the Financial Statements

for the Period Ended 31 December 2023

4. Debtors

2023 2022
£ £
Trade debtors 837,934 909,841
Other debtors 471,776 82,550
Total 1,309,710 992,391
Debtors due after more than one year: 441,776 82,550

For the year ended 31 December 2023, the Company recognized a deferred tax asset of £389,226 since it believes it is probable that the loss will be recovered against future taxable profits. The total accumulated tax deferred asset as of 31 December 2023 is £471,776.For the year ended 31 December 2022, the Company recognized a deferred tax asset of £82,550 since it believes it is probable that the loss will be recovered against future taxable profits. In addition the Company reversed an overaccrual of taxes payable of £14,954 from the year ended 31 December 2021.

ALGER MANAGEMENT, LTD.

Notes to the Financial Statements

for the Period Ended 31 December 2023

5. Creditors: amounts falling due after more than one year note

2023 2022
£ £
Bank loans and overdrafts 0 0
Amounts due under finance leases and hire purchase contracts 0 0
Other creditors 2,328,238 2,248,553
Total 2,328,238 2,248,553