Pixabay CC0 Public Domain. XP incorpora a su plataforma el fondo Jupiter European Growth centrado en compañías large cap europeas
XP Inc. is bringing to its platform the first international fund of Jupiter, an asset manager based in London with 35 years of experience and US$ 80 billion in Assets Under Management (AUM).
The new offered fund is the Jupiter European Growth, focused on leading European-based companies that have Global operations, like Adidas, Dassault, Novo Nordisk, Pernod-Ricard and Deutsche Boerse. The fund consists of a concentrated portfolio of 35-45 holdings, focusing on large cap companies operating in sectors with attractive industry economics, high barriers to entry and sustainable competitive advantages.
The benchmark is the FTSE World Europe, that covers companies with these profiles. The fund has been overcoming the index systematically for periods like three and five years.
Launched 19 years ago, the product is co-managed by Mark Nichols e Mark Heslop since October 2019. Together, they have more than 30 years of experience with European companies. The strategy is based on the stock picking view, seeking consistent returns in the long term and considering ESG principles.
The fund will have a minimum investment of R$ 500, with a management fee of 1%.
With this launching, XP takes another step towards democratizing the offer of global products to its clients, a process that has already brought to the platform funds from globally recognized managers, such as JP Morgan, Fidelity, AXA and Wellington. With values starting at BRL 100, the investor can have access to products linked to different types of companies, from the most traditional to the most innovative, in markets such as Europe, China and the United States.
William Lopez, Head of Latin America & US Offshore at Jupiter commented:
“We are delighted to have signed this strategic partnership with XP and to play our part in expanding the range of international funds available in the Brazilian market. Jupiter European Growth offers Brazilian investors exposure to European equities via a strong investment team and a proven active strategy. We look forward to working closely with XP in the future to provide greater access to Jupiter’s investment expertise in Brazil.”
“Jupiter Asset Management have a huge expertise in European markets, so, for us bringing their funds to our platform is a real milestone. The Brazilian investors will have the opportunity to diversify their portfolio in a fund with world-class companies”, says Fabiano Cintra, funds specialist at XP.
Foto cedidaDe izquierda a derecha: Marc van Heems, estor de fondos para la estrategia de bonos corpo. Vontobel refuerza su equipo de renta fija global en Zúrich y Nueva York
Vontobel has expanded its fixed income team with four seasoned new hires in Zurich and New York. The asset manager pointed out in a press release that the appointments -which follow four new hires in January across its Zurich and Hong Kong offices- reinforce its commitment to attracting the best investment talent to drive value for investors.
Pamela Gelleshas been named Senior Credit Analyst on the Developed Market Corporate Bonds team in New York. She joins Vontobel after eight years at BNP Paribas Asset Management, where she was a credit analyst following both investment grade and high yield companies within the consumer products, retail, hospitality and transportation sectors. She also co-created and implemented an ESG methodology for the company’s credit analysis.
Prior to that, Gelles covered various industry sectors, including healthcare and utilities, at BNY Mellon Asset Management, Foresters Financial, NLI International and The Carlyle Group. She also spent 12 years as a ratings analyst at Standard & Poor’s.
Another outstanding designation is that of Marc van Heemsas Portfolio Manager for the Global Corporate Bond strategy in Zurich. He joins Vontobel from Lombard Odier Investment Management, where he was a portfolio manager for European and Emerging Markets Credit, responsible for active implementation of trades in investment grade and BB-rated bonds, including senior and subordinated cash bonds and credit default swaps. As a credit analyst, he covered non-financial sectors in developed markets and Asia, including Autos/Parts Suppliers, Defense/Aerospace, Capital Goods, China Real Estate, Indian Renewables and Energy.
The Zurich offices will also welcome as Head of Fixed Income Trading Jean-Michel Manry, a seasoned Operations and Trading Manager with expertise in derivatives, fixed income and forex. He joins from Rama Capital, a Geneva-based family office where he was an Operational and Trading Advisor. Prior to that, Manry spent 18 years at Pictet Asset Management, where he was Head of Fixed Income Trading and later became Head of Buy-side Trading for Multi-Asset strategies.
Lastly, Nicolas Hauser has been appointed Fixed Income Trader in Zurich. He joins from Fisch Asset Management, where he was responsible for trading and execution of corporate bonds and convertible bonds, as well as FX and futures. His expertise also includes futures trading for CTA managed futures accounts and interest rate risk hedging.
Simon Lue-Fong, Head of Fixed Income at Vontobel, highlighted that these hires reflect “the continued growth of, and investment into,” their global fixed income offering. “The volatility in markets over the last few months has demonstrated the importance of a truly active approach and the value of our high conviction active management style. Marc and Pamela will play key roles in helping to deliver value for our clients, and the knowledge and insight they provide will be instrumental in supporting the rest of the team”, he added.
Currently, the Fixed Income team consists of 41 investment professionals located in Zurich, New York and Hong Kong.
Pixabay CC0 Public Domain. Capital Group lanza un fondo de renta variable con enfoque de alta convicción que invierte en compañías asiáticas
Capital Group has announced the launch of its Capital Group Asian Horizon Fund (LUX), which seeks to capture Asia’s secular growth opportunities with a global perspective.
In a press release, the asset manager highlighted that Asia is fast becoming “a global economic powerhouse” and its rapidly growing middle class have brought about “a huge rise in the demand” of every kind of products and services, from healthcare and financial services to luxury goods and online entertainment. That’s why Capital Group Asian Horizon Fund (LUX) is designed to meet “growing investor appetite” for Asia-related stocks as global investors become increasingly aware of opportunities that arise from secular growth trends in the region.
The strategy is a high conviction portfolio, investing across the market cap and valuation spectrum to achieve long-term capital growth. The fund invests in companies with at least two-thirds of net assets based in Asia ex-Japan, including onshore China A-shares, but it also has the flexibility to invest in companies domiciled outside of the region, where Capital Group’s analysts believe that exposure to Asia will be a key driver of their future growth prospects.
By combining local and global investments, the asset manager created the fund to fully unlock access to “the most exciting growth opportunities” in Asia ex-Japan.
“Asia is becoming a global economic powerhouse and is home to some of the world’s most innovative and fastest-growing companies. Its multi-dimensional growth story is unique, and we are well placed to ensure that investors can tap into domiciled opportunities just as well as those outside the region that are plugged into the growth drivers within the Asian market. With our proven track record of being early investors in Asia’s emerging leaders, we believe that Capital Group Asian Horizon Fund (LUX) is a great example of helping investors to identify champions.”
In Mexico, Harbourvest Partners, Spruceview México and Lock Capital are the three alternative investment issuers that have called the most capital in amount. On the other hand, Harbourvest Partners, Lock Capital and Capital Global are the three issuers with more than $1 billion USD in committed capital out of the 17 GPs that have issued CERPIs as can be seen in the following table:
CERPIs are the vehicles that allow AFOREs to invest in Private Equity globally. So far (March 2021) there are 49 CERPIs in place totaling $9.714 million USD in committed capital, of which 25% have been called.
MIRA Manager was the first in 2016 before CERPIs were allowed in 2018 to invest 90% of its resources globally and 10% in Mexico. The opportunity to invest globally promoted that, in 2018, 12 issuers issued a CERPI for the first time, standing out in committed capital: Capital Global, Lock Capital (who replaced Lexington as manager, who issued in said year) and KKR. In 2019 three new GPs were incorporated (Harbourvest Partners, Spruceview and Actis Gestor) and four GPs continued to grow their offer of CERPIs. For 2020 only Arago Capital was the new GP that was incorporated as an issuer and three reissued.
For the potential market that global Private Equity investments have, the fact that there are only 17 issuers seems to us to represent a small number and that they are only taking a breather. In Chile, the AFPs make similar investments through 45 GPs (2.6 times more than Mexico) of which five of them have issued a CERPI in Mexico.
For the AFOREs with $230.110 million USD in assets under management (as of February 28, 2021), investments in local Private Equity represent 5% and 1% in global Private Equity, which shows their growth potential.
As there are 49 emissions and 17 GPs, the average per GP is close to 3 CERPIs for each one, however 9 have more than one CERPI and 8 GPs only have one CERPI. The number of issuances has grown due to the specialization in the age of the affiliated worker and due to its orientation towards private banking clients. It should be remembered that today SIEFOREs are based on the worker’s age (Target Date Funds). Spruceview and BlackRock for example have 9 CERPIs each, while Lock Capital has 8.
The 17 issuers can be classified as:
Global GPs,
Local GPs,
GPs who are advisers and
Those that are a combination of the above.
As CERPI issuance dominates in the Fund of Funds sector it is highly likely that there are more global GPs than we currently see. However, that information is not public.
Global investments in Private Equity by AFOREs should continue to grow in both resources and managers.
Pixabay CC0 Public Domain. XP y M&G firman un acuerdo para ofrecer su estrategia insignia de bonos flexibles a clientes brasileños
XP Inc., a leading, technology-driven financial services platform, announced its partnership with M&G plc., a leading international savings and investment company headquartered in London, to offer Brazilian-based investors access to a flagship flexible bond strategy via a new XP local fund.
XP has launched the M&G Optimal Income Advisory FIC FIM IE CP, a Brazilian domiciled fund dedicated to investing into a globally diversified fixed income strategy offered by M&G Investments, which combines top-down macroeconomic approach with a rigorous bottom-up credit analysis. Brazilian investors will have access to the BRL-hedged fund.
This partnership comes in an ideal moment as the all-time-low interest rate in Brazil (2% as of September 2020) has made global funds potentially attractive as an investment option for investors seeking to improve the risk/return ratio in their portfolios.
“We are excited to bring this flagship strategy from M&G on board. Focused on identifying the combination of assets that provide the most attractive income stream within the bond universe, the strategy not only presents new sources of potential returns, but is also meant to offer downside protection through the economic cycle”, says Fabiano Cintra, funds specialist at XP. “XP continues in its plan to connect Brazilians with the best investment opportunities in the world and M&G certainly stands out as a very well-known and well-recognized manager”, adds Cintra.
Pixabay CC0 Public Domain. Azimut continúa reforzando su presencia en la región con la adquisición de MZK Investimentos en Brasil
The Azimut Group, one of the largest independent asset managers in Europe, through its subsidiary AZ Brasile Holding, signed an agreement to acquire 100% of the capital of MKZ Investimentos, an independent Brazilian asset manager specialized in Macro Strategies with more than 125 million dollars under management.
This transaction will add to the existing AZ Quest asset management proposition thus reinforcing the Group’s strong expertise across Brazilian equity and fixed income capital markets. AZ Quest and MZK Investimentos will operate as separate legal entities until all regulatory approvals are completed.
MZK, founded in 2017, has a senior and integrated management team, deriving from a joint activity developed over the last 15 years, which includes experiences in treasuries of major local and international banks, such as HSBC, Bradesco and BNP Paribas. This entire team, composed of qualified professionals and complementary profiles, will be integrated in the AZ Quest’s macro team and will be led by MZK CEO, Marco Antonio Mecchi.
This operation adds value also to MZK’s clients through the exchange of expertise from the current team with the other AZ Quest areas, such as equity, private credit and arbitrage. Moreover, MZK current team will access the competencies of over 150 portfolio managers in 18 investment hubs that make up the Azimut Global Asset Management Team. Professionals will benefit from this tremendous synergy without any changes in the current products structure.
The mutual fund industry in Brazil totals more than 1 trillion dollars with an excess of 70% of assets under management being concentrated on low-risk fixed income strategies. Local interest rates still significantly below the historical norm are conducive for a continuation in the rotation from low to medium-high risk investment strategies such those managed by MZK. In this context, the transaction strengthens the Group’s macro product proposition to local clients and underpin the potential for further organic growth capitalizing on the underlying industry trends.
Giorgio Medda, CEO and Global Head of Asset Management of Azimut Group, comments: “The investment in MZK fits well with our plans of adding breadth to our Global Asset Management Team local capabilities, particularly in a key market for global investment portfolios like Brazil. Our overall strategy to expand the Group’s integrated asset management platform in Brazil will benefit from new product development, which has been instrumental in our organic growth locally since 2015.”
Marco Antonio Mecchi, one of the MZK founder, comments: “The synergy and complementarity created by the merger of MZK and Azimut adds value and local expertise to its clients and also adds strength to the franchise. The new company will manage funds effectively using the leverage of the global structure Azimut provides and the local knowledge and experience MZK provides. We are very excited to be part of this Group and lookforward to the development of new businesses”.
Foto cedidaSasha Evers, responsable de distribución minorista para Europa en BNY Mellon Investment Management.. Sasha Evers, nuevo responsable de distribución minorista para Europa de BNY Mellon IM
BNY Mellon Investment Management has announced this week changes in leadership roles at a global level, starting with the appointment of Sasha Evers as head of retail distribution for Europe. Based in Madrid, he will report to Matt Oomen, global head of distribution, and Ralph Elder will take over his role as head of Iberia and Latin America.
In this newly created role, Evers will be responsible for leading, defining and executing the firm’s distribution strategy in Europe’s retail segment. He will work closely with its investment firms, including Newton Investment Management, Insight Investment and Walter Scott, “to provide clients with high quality, relevant investment strategies that meet their needs and objectives”, the asset manager pointed out in a press release.
His appointment comes after Hilary Lopez, head of European intermediary distribution, announced that she has decided to leave the company after 11 years “to pursue other opportunities”.
Evers has been with BNY Mellon IM for more than 21 years and was most recently head of Iberia and Latin America. Now, Ralph Elder, formerly director of sales for the Iberian region, will assume the leadership of those businesses. Elder has been with the company two decades and has been key in the development of the Iberia business.
Strengthen European presence
“The retail market in Europe is a strategically important part of our business. Sasha has a proven track record of building successful businesses and teams, developing longstanding client relationships and growing assets. I am thrilled to be working more closely with him as we drive further growth in the segment and strengthen our presence across Europe”, said Matt Oomen, global head of distribution at BNY Mellon IM.
He also claimed to be “delighted” that Elder will lead the Iberia and Latin America businesses because he has played “an integral role” in building them alongside Evers over the past 20 years. “I would also like to thank Hilary for her many contributions to the firm and wish her the very best in her future endeavours”, he added.
Meanwhile, Evers commented: “I am very excited by this opportunity to lead our retail distribution strategy in Europe. I look forward to working with all our businesses across the Continent to drive further our growth in this key client segment. Ralph has been a key driver of our success in the Iberia region and I am delighted that he will lead our Iberia and Latin America businesses going forward.”
Pixabay CC0 Public Domain. HMC Itajubá apoya a CD&R en uno de las recaudaciones de fondos de private equity más grandes de la región
Clayton, Dubilier & Rice (“CD&R”), a global private investment firm advised by HMC Itajubá, a leading financial LatAm advisory and investment firm, closed on 1.2 billion dollars from Latin America investors for the firm’s latest flagship fund. Investors from the region accounted for 7% of the new fund (CD&R XI) and the capital committed represents one of the largest fundraises for a buyout manager in Latin America to date.
The Latin America capital for CD&R fund was raised in all major markets and led by Andean Region with 74.1% of the capital, followed by Brazil with 16.6% and Mexico with 9.3%respectively. By type of investors, institutional investors, like Pension Funds and Insurance Companies, represented 70% and Private Investors, including Feeder vehicles, were the remaining 30%. The closing involves more than 90 investors from the region, demonstrating the increasing potential of the region for private equity fund investments.
“We are very proud of this closing because it shows the growth potential of Latin America into the alternatives ecosystem. HMC Itajubá team is working hard to make great things happen in this type of investment in the region,” said Ricardo Morales, Co-founder at HMC Itajubá.
“We are delighted to see how private investors move an important part of their portfolios to alternative investments and they represented a significant part of the commitments in this fundraise of CD&R,” commented Agnaldo Andrade, Co-founder HMC Itajuba.
“We are grateful to our investors in Latin America for their strong support and were delighted to work with HMC Itajubá team on this important project,” said Thomas Franco, CD&R Partner. “The success of the fundraise is a critical milestone and validates the growing and broad appreciation among asset owners for private equity-related investments in the region.”
Earlier this year, CD&R was recognized by Private Equity International Awards as the Firm of the Year in the Large-Cap North America category for 2020. “The firm has announced at least 10 new investments since March, making 2020 its most active year to date”, the Private Equity International Awards report said on the announcement. Clayton, Dubilier & Rice (“CD&R”), a global private
Pixabay CC0 Public Domain. Un gestor de activos especializado en acciones locales
The Azimut Group, one of the largest independent asset managers in Europe, through its subsidiary AZ Mexico Holding, signed today an agreement to acquire 51% of the capital of KAAN Capital, an independent asset manager and advisory firm specializing in Mexican equities. KAAN is made up of a group of senior managers and analysts with a solid track record, and offers asset management and advisory services to institutional and HNW clients. Upon completion of the transaction, KAAN will be renamed Azimut-KAAN.
Headquartered in Mexico City, KAAN was founded by Alberto Rodriguez and Josè Fierro – current General Manager and Investment Director of Azimut-KAAN – who together have over 50 years of experience in the Mexican equity market as well as in the management of local funds and mandates for institutional clients, international sovereign funds, pension funds and HNWIs.
Thanks to this partnership, Azimut enters the investment advisory sector in Mexico, thus expanding the range of asset management services for local clients and strengthening its presence in a country where it has operated since 2014 through Más Fondos, the leading Mexican multi-manager company operating through an integrated and independent business model. Más Fondos continues to grow in financial advisory through the recruitment of financial advisors. The partnership with KAAN has effectively been already in place, since KAAN is the advisor of Más Fondos’ local equity fund, AZMT – V1 launched last December, with assets of 330 million Mexican pesos. Thanks to the expertise of over 120 managers in 18 investment hubs that make up the Azimut Global Asset Management Team, Mas Fondos is about to launch three new funds that will be listed on the Bolsa Institucional de Valores (BIVA).
The mutual fund industry in Mexico totals approximately 130 billion dollars and accounts for just under 10% of total GDP, a small percentage when compared to those of the major Latin American economies. More than 70% of assets are concentrated on low-risk fixed income strategies, while exposure to local equities has reached some of the lowest levels in recent years, which can be an interesting opportunity following a value approach.
Mexico, with a population of 130 million, is the second largest economy in Latin America and the largest in Central America with a purchasing power parity GDP of approximately 1,3 trillion dollars in 2019 (15th globally). With a debt-to-GDP ratio below 60%, Mexico is among the most virtuous countries in Latin America. The Mexican economy has private consumption and high export as its main growth drivers, while more than 60% of its GDP comes from the service sector and just under 30% from the industrial sector3 .
Giorgio Medda, CEO and Head of Asset Management of Azimut Group, comments: “The transaction with KAAN confirms Azimut Group’s constant interest in investing in asset management capabilities, continuing to improve services to its customers, both locally and globally, and further consolidating the presence and skills of the Global Team in Latin America. In addition, the partnership with KAAN fits perfectly with the development of our integrated financial advisory platform in the asset management industry in Mexico “.
Alberto Rodriguez and Josè Fierro comment: “We are thrilled to join forces with one of the world’s leading independent asset managers who shares our core values and investment approach. This partnership will allow KAAN to grow at a faster pace and, above all, will benefit our customers as the global approach and expertise of the Azimut Group will complement our knowledge and experience of the Mexican market.”
Foto cedida. Santander Private Banking acuerda la compra del negocio de banca privada de Indosuez en Miami
Santander Private Banking has reached an agreement with Indosuez Wealth Management –the global wealth management brand of Crédit Agricole group– to purchase 4.3 billion dollars in client assets and liabilities. The firm has announced in a press release that the transaction is subject to regulatory approval and is expected to close by midyear 2021.
“This transaction, which leverages our geographic presence and our capabilities as a leading financial group, is another step toward our goal of becoming the best global private banking platform. We want to keep growing our business –especially in geographies where we see major commercial potential like the US– and elevate our position as a growth engine for Grupo Santander”, said the Global Head of Santander Wealth Management & Insurance, Víctor Matarranz.
Meanwhile, Jacques Prost, CEO at Indosuez, commented that, after close evaluation of a number of international bidders, Santander’s proposal for the Miami business stood out to Indosuez thanks to the bank’s high quality and strong reputation.
“We are confident that this is the right fit to meet the interests of our clients and our people in Miami, ensuring a smooth transition and building on Santander’s sizeable footprint and 42-year long experience in the region. Indosuez’s decision to leave the Miami market was carefully considered due to our longstanding presence in the region, but was made in line with Indosuez’s strategy of focusing and expanding its presence in its key markets”, he added.
Santander US CEO Tim Wennes also assessed the acquisition, pointing out that it is part of the growth strategy for Santander US, which includes organic and inorganic opportunities. “I am confident that the team will provide world-class services to our new clients from Indosuez”, he said.
The bank has explained that the transaction will be executed through Banco Santander International (BSI), part of Santander Private Banking, Grupo Santander’s business unit dedicated to the private banking segment. Santander Private Banking manages a volume of 230 billion euros in customer assets and liabilities. BSI is a wholly owned subsidiary of Santander Holdings USA, Inc., Banco Santander’s intermediate holding company in the U.S.
