Broadridge's Franchises Are Robust in the Current Environment

Broadridge Financial Solutions has been the dominant proxy and interim service provider for broker/dealers for more than 20 years. Its regulated proxy and interim business is its crown jewel, and a disproportionate amount of its net income comes from its fiscal third and fourth quarter during proxy season. In addition, Broadridge generates about 30% of its fee revenue and profit from its global technology and operations segment, which provides securities processing solutions. Amid COVID-19, Broadridge has benefited from higher engagement of retail investors through higher position growth and elevated trading volume.