European funds distribution specialist MFEX has agreed a deal with Societe Generale Securities Services (SGSS) to take on the bank’s Global Fund Trading (GFT) platform in Luxembourg.
The deal will see MFEX manage all post-trade services related to funds, currently operated by Societe Generale Luxembourg. MFEX will also integrate all of SGSS’ employees involved in these services.
Meanwhile, SGSS will continue to provide its clients with a global offering, using MFEX as a benchmark providers of services for international fund distribution.
“In a changing environment, this partnership would enable Societe Generale Securities Services to enrich its global offering for asset managers and financial institutions,” said Mathieu Maurier, country manager, Luxembourg, SGSS.
“Our clients would benefit from a full range of services, combining the expertise developed by SGSS‘ teams and the know-how of MFEX, an international leading provider of fund distribution services.”
MFEX has grown its fund distribution capabilities significantly in recent months, with the SGSS partnership being the second deal in a year for the platform.
In April, MFEX closed its acquisition of RBC Investor and Treasury Services’ (RBC I&TS) Luxembourg-based global funds platform. Following the deal, it then went live with the delivery of fund distribution services to RBC I&TS under a long-term partnership.
It has since opened two new offices in Luxembourg and London to strengthen its European offering, and a new operating centre in Malaysia, expanding MFEX’s range of services to 305 fund distributors and 930 asset management companies.
Following completion of the partnership with SGSS, MFEX’s assets under administration would exceed €250 billion, enabling it to offer services in 51 countries and giving it access to 72,000 funds.
“This partnership represents a natural continuation of the excellent collaboration we have had with Societe Generale group for several years. This transaction would strengthen MFEX’s presence in Luxembourg and enable MFEX to continue to grow by consolidating its leading position in international funds distribution,” added Olivier Huby, co-CEO of MFEX.