The financial climate has dealt financial services firm Hyperion Flagship Investments (Hyperion) a heavy blow, with the company's profit on long-term investments and reserves the worst hit.
Hyperion's profit after tax and after realised losses on long-term investments dropped by 158.5 percent, according to the listed firm's results for the period ending 31 December 2008.
The firm's net loss for the period attributable to shareholders was also down 158.5 per cent.
However, Hyperion's reserves after tax took the greatest hit, down 209.9 per cent compared to the previous year.
The firm's investment portfolio declined by 19.7 per cent, which compares to a decline of 31.4 per cent by the All Ordinaries Index.
"While the outlook is for a weak economy over the next 12 months, the five-year expected return from our portfolio is at the highest level in Hyperion's 12-year history," a company statement to the Australian Securities Exchange said.
"Hyperion's investment focus on high-quality companies with earnings certainty, low levels of debt and sustainable competitive advantages means that the portfolio is well-positioned to generate strong returns over a three- to five-year time horizon."
