Profits soar at STJ Advisors

PARTNERS at boutique investment advisory STJ have seen their share of profits skyrocket since the firm was set up in 2008, its most recent accounts show.

Financial statements for STJ Advisors filed at Companies House on Friday show that the profit pool available to the nine members of the firm’s partnership was £4.85m from March 2010 to March this year, an average of £539,000 each.

Of that, the partners drew £3.63m, an average of £403,000 per person.

The boutique’s success will displease some bankers at bulge bracket banks, whom STJ has accused of talking down the value of floats to the detriment of clients looking to raise capital.

STJ’s bumper profits during 2010-2011 compare to a more modest average profit share of £110,000 between four partners from September 2008 to March 2010, of which they drew an average of £63,000 each.

Comparing the same two periods, revenues rose from some £720,000 to more than £6.68m during 2010-2011.

STJ specialises in debt and equity capital-raisings and has been on several high-profile deals behind the scenes, such as the initial public offering of Spanish savings bank Bankia, and the pulled float of Hochtief Concessions and Telefónica’s attempted float of Atento. Earlier this year, City A.M. revealed the depth of the animosity between some independent advisers and larger investment banks, with each blaming one another for a seizure in London’s capital markets, which have still not reopened.