1052100--3/1/2007--WADDELL_&_REED_FINANCIAL

related topics

{system, service, information}

{provision, law, control}

{debt, indebtedness, cash}

{financial, litigation, operation}

{regulation, government, change}

{investment, property, distribution}

{regulation, change, law}

{tax, income, asset}

{condition, economic, financial}

{cost, contract, operation}

{competitive, industry, competition}

{stock, price, share}

{personnel, key, retain}

{cost, regulation, environmental}

Regulatory Risk Is Substantial In Our Business. Non-Compliance With Regulations Or Changes In Regulations Could Have A Significant Impact On The Conduct Of Our Business And Our Prospects, Revenues And Earnings. Fee Pressures Could Reduce Our Revenues And Profitability. There May Be Adverse Effects On Our Revenues And Earnings If Our Funds Performance Declines. An Increasing Percentage Of Our Assets Under Management Are Distributed Through Our Wholesale Channel Which Reflects Higher Redemption Rates Than Our Traditional Advisors Channel. There May Be An Adverse Effect On Our Revenues And Earnings If Our Investors Remove The Assets We Manage On Short Notice. There Is No Assurance That New Information Systems Will be Implemented Successfully. A number of the Company s key information technology systems were developed solely to handle the Company s particular information technology infrastructure. The Company is in the process of evaluating and implementing new information technology and systems that it believes could facilitate and improve our core businesses and our productivity. There can be no assurance that the Company will be successful in implementing the new information technology and systems or that their implementation will be completed in a timely or cost effective manner. There May Be Adverse Effects Of The Termination Or Failure To Renew Certain Agreements. Our Financial Advisors Are Classified As Independent Contractors, And Changes To Their Classification Costs May Increase Our Operating Expenses. From time to time, various legislative or regulatory proposals New Regulations Restricting The Use Of Soft Dollars Could Result In An Increase In Our Expenses. Our Ability To Hire And Retain Senior Executive Management And Other Key Personnel Is Significant To Our Success And Growth. Our Business Is Subject To Substantial Risk From Litigation, Regulatory Investigations And Potential Securities Laws Liability. Our Revenues, Earnings And Prospects Could Be Adversely Affected If The Securities Markets Decline. We Could Experience Adverse Effects On Our Revenues, Profits And Market Share Due To Strong Competition From Numerous And Sometimes Larger Companies. The Terms Of Our Credit Facility Impose Restrictions On Our Operations That May Adversely Impact Our Prospects And The Operations Of Our Business. Systems Failure May Disrupt Our Business And Result In Financial Loss And Liability To Our Clients. Potential Misuse Of Funds And Information In The Possession Of Our Employees And/Or Advisors Could Result In Liability To Our Clients And Subject Us To Regulatory Sanctions. There Are No Assurances That We Will Pay Future Dividends Which Could Adversely Affect Our Stock Price. Our Stockholders Rights Plan Could Deter Takeover Attempts Which Some Of Our Stockholders May Believe To Be In Their Best Interest. Provisions Of Our Organizational Documents Could Deter Takeover Attempts Which Some Of Our Stockholders May Believe To Be In Their Best Interest. Our Holding Company Structure Results In Structural Subordination And May Affect Our Ability To Fund Our Operations And Make Payments On Our Debt.

Full 10-K form ▸

1052100--3/1/2007--WADDELL_&_REED_FINANCIAL_INC