ICAP, a markets operator and provider of post trade risk mitigation and information services, has made an investment in Enso Financial Management (EFM), an early-stage firm providing hedge funds and asset managers with portfolio reporting and data analytics services.
Based in New York, EFM reports on more than USD100bn in global assets under management. The company will use the funding to drive continued product innovation and expand geographically to support its growing client base.
Demand for services has increased significantly as buy side firms using multiple prime brokers, custodians and swap dealers increasingly require flexible reporting and analytics platforms.
"EFM have clearly demonstrated their advanced portfolio analytics deliver the transparency and operational insight increasingly required by buy side participants," says Mark Beeston (pictured), chief executive of portfolio risk services at ICAP. "EFM's technology is a strong fit for ICAP and will complement our suite of services to help our customers drive the efficiencies demanded in today's trading environment."
“EFM is an elegant solution to a complex problem. While clients are diversifying their risks and strategy opportunities with multiple counterparties, we empower them with daily, profitable information,” says Matthew Bernard, partner at EFM. “We provide a competitive advantage through data aggregation and powerful analytics.”
EFM is a secure, instructive platform for buyside analytics. It gives hedge funds and asset managers a backdrop for radically improved daily fund performance based on valuable, actionable insights that might otherwise remain hidden. Even under constrained market and regulatory conditions, EFM helps fund managers act intelligently to identify and overcome barriers to higher returns, mitigate counterparty risk and generate real and lasting alpha.
“ICAP has a strong track record in investing in and developing businesses, particularly those that enable its customers to reduce costs and risk,” says Michael Gentile, EFM partner. “Our mutual recognition that investors can benefit from improved transparency, speed of execution and a more streamlined trading process makes this strategic alliance an important step for EFM as we grow our blue-chip clientele. We will benefit from working with ICAP improving further our technology development and operational efficiencies.”
Steve Gibson, managing director of Euclid Opportunities, will join the board of EFM.