Conifer Securities, a provider of business and operations solutions to hedge fund managers, family offices, foundations and endowments, has agreed to purchase Morgan Stanley’s outsourced t
Conifer Securities, a provider of business and operations solutions to hedge fund managers, family offices, foundations and endowments, has agreed to purchase Morgan Stanley’s outsourced trading business. Conifer was advised by Grail Partners in the transaction, which is due to close at the end of April and whose terms have not been disclosed.
According to Conifer, the transaction significantly boosts its position as a provider of independent trade execution in equities, options, exchange-traded funds and related products for its hedge fund clients. Morgan Stanley will continue to offer prime brokerage services to the outsourced trading clients, while it transfers the function to Conifer.
‘We are excited to be acquiring this platform, which will further enhance our service offering to meet the needs of the hedge fund community,’ says Conifer chief executive Jack McDonald. ‘We welcome Morgan Stanley’s trading team and look forward to continuing to provide top-level execution service to its outsourced trading clients.’
Stu Hendel, global head of prime brokerage at Morgan Stanley, says: ‘We know and respect Conifer’s expertise and client-focused culture, and are confident in their ability to support our clients going forward.’
As a result of the transaction, the entire Morgan Stanley trading team in New York, headed by William Byrne, will move to Conifer’s New York office and join the firm’s existing trading teams in New York and San Francisco. The expanded team will report to partner Jerry Markowitz and McDonald.
‘This is our first acquisition, complementing nearly 20 years of solid organic growth,’ says Confider chairman Phil Stapleton. ‘We continue to look for new avenues of global expansion to serve our growing client base.’
Conifer Securities offers middle- and back-office services to its clients including fund accounting and administration, trade operations, execution, executive office space, compliance, corporate accounting, consulting services and business infrastructure. Established in 1989, the firm has headquarters in San Francisco and offices or affiliates in New York, Boston and the British Virgin Islands.
