MFEX is to expand its footprint in Europe and Asia by entering into an agreement with RBC Investor & Treasury Services (“RBC I&TS”), part of Royal Bank of Canada (RY on TSX and NYSE), whereby MFEX acquires RBC I&TS’s Global Fund Platform (GFP) technology and provides fund distribution services to RBC I&TS under a long-term partnership.
Following MFEX’s recent acquisitions of Ahorro Best Funds in Spain and Axeltis in France, the agreement with RBC will further strengthen MFEX’s position as a leading expert for international fund distribution in a rapidly consolidating industry, reinforcing its market share in both Europe and Asia and allowing it to expand its offering for both distributors and investment managers.
As a result of the transaction, RBC I&TS’s GFP clients will continue to be serviced by RBC I&TS, but in addition, its appointment of MFEX means that clients will also benefit from MFEX’s specialized expertise, new digital services and position as an independent expert in global automated fund distribution.
“We are extremely pleased to partner with RBC. Both parties share common values in the delivery of the best possible client experience and a willingness to invest into the digitization of the fund distribution value chain,” said Oliver Lagerström, co-CEO of MFEX.
“This, along with our other recent acquisitions, reinforces MFEX’s leading role as the preferred independent expert in global fund distribution,” said Olivier Huby, co-CEO of MFEX.
RBC I&TS’ GFP technology which provides order routing, deal execution, settlement, asset servicing, fund data, fund documents and trailer commission processing for investments into mutual funds, alternative investment funds and ETFs will be transferred to MFEX as part of the acquisition.
As a result of this acquisition, MFEX will expand its geographic footprint through new local offices in London, Luxembourg and Kuala Lumpur.