MSCI, a provider of investment decision support tools including indices, portfolio risk and performance analytics and corporate governance services, has entered into a definitive agreement to acquire Measurisk, an affiliate of J.P. Morgan Worldwide Securities Services and a provider of risk-transparency and risk-measurement solutions for hedge fund investors.
The deal, which remains subject to customary closing conditions, is expected to close at the end of July.
"The acquisition of Measurisk will bring together two leaders in the field of risk reporting and aggregation services for hedge fund investors – RiskMetrics HedgePlatform and Measurisk InterSight," says Henry Fernandez, chairman and chief executive of MSCI. "Institutional investors, including pension funds, are demanding increasing levels of transparency from their hedge fund managers. This transaction will allow us to develop a common platform and to set the standard for analysing and reporting hedge fund risk."
"J.P. Morgan provides leading risk and performance analytics through J.P. Morgan Investment Analytics and Consulting and will continue to utilize both proprietary and external capabilities to bring the best solutions to our client base of asset managers and institutional investors," adds Susan Ebenston, head of global funds services, J.P. Morgan Worldwide Securities Services. "We believe that Measurisk will be able to realize its full growth potential by being added to the MSCI risk solutions set."
The terms of the transaction were not disclosed. The acquisition is not expected to have a material impact on MSCI’s results of operations in fiscal year 2010.
