Investec Asset Management has become the latest fund management company to sign up to use the UK mutual fund messaging and order-routing platform, EMX Message System.
“We are delighted to welcome Investec on board the EMX Message System as it is one of the mutual fund industry’s fastest growing companies and its addition further enhances our platform. I don’t doubt that the company will join our existing clients in seeing the greatly reduced costs and increased efficiencies which come from automating the mutual fund process,” says Max Wright, Chief Executive of EMXCo. “EMXCo is seeing a fantastic growth in business levels and there is certainly a momentum sweeping the industry towards technological solutions that streamline the fragmented processes previously used for transacting mutual funds. An additional benefit for our users is that they are perfectly placed to take immediate advantage of the settlement function that EMXCo will be releasing shortly.”
EMXCo says that Investec believes it has now fully established its business in the UK and that its platform will play a significant role in the future landscape of the mutual fund market. The EMX Message System is already being successfully used by many of Investec’s clients.
The EMX Message System, which routed over 91,000 messages in September and saw further record breaking volumes in October, now claims to move over 1 in 5 of all UK mutual fund transactions. It is extending its links into cross-border markets (it is understood that EMXCo is talking to Euroclear FundSettle about a possible link) and discussing with Euroclear-owned UK CSD CREST the addition of settlement functinality to its offering.
“We continue to manage our business with the aim of controlling costs and delivering superior service and market leading fund performance,” adds David Aird, Joint Managing Director of Investec Fund Managers. “In our pursuit of cost efficiencies we are keen to work with organisations, such as EMXCo, which make a measurable difference.”
Investec’s link up with EMXCo will go live for business in the first quarter of 2004.