Euroclear acquires MFEX to enhance offering for fund distributors and fund managers

Rick Steves

This transaction brings together two highly complementary businesses.

Euroclear has acquired MFEX Group for an undisclosed sum six months after first announcing its intent to acquire the global digital fund distribution platform.

Euroclear will be able to enhance its offering for fund distributors and fund management companies by combining its FundSettle post-trade expertise and MFEX’s distribution platform.

MFEX’s broad fund distribution network and talented people will be complementary to Euroclear, enhancing and extending Euroclear’s customer proposition which will further grow the funds business.

Lieve Mostrey, Chief Executive Officer, Euroclear, said: “We are delighted to have completed the acquisition of MFEX Group. This transaction brings together two highly complementary businesses and we look forward to working with our new colleagues at MFEX to build a stronger fund distribution proposition for our clients.”

In 2020, Euroclear saw Marc Antoine Autheman stepping down as the Chairman and Director of the board of directors after steering the business through its response to the current COVID-19 situation.

In addition, Bert De Graeve has decided to take this opportunity to step down from his role as an independent non-executive director of Euroclear Holding. Harold Finders and Franco Passacantando have become independent directors at the level of Euroclear Holding SA/NV.

International central securities depositories (ICSDs) Clearstream Banking S.A. and Euroclear Bank SA/NV appointed China Construction Bank (Asia) Corporation Limited (CCB (Asia)) as common depository, safekeeper, and service provider for their international debt securities, also known as Eurobonds.

Clearstream and Euroclear act jointly as the central hub of issuance and deposit for Eurobonds. They work with a number of large financial institutions acting as common depositories to support issuers across the globe.

As a result, issuers benefit from greater investor reach by leveraging the ICSDs’ international client bases and multi-currency model.

This international issuance model is supported by an interoperable link allowing clients to settle cross-border transactions seamlessly throughout the day, thereby increasing the liquidity available to market participants.

CCB (Asia)’s Transaction Banking specialises in all aspects of Corporate Trust, Private Trust, Fund Trust, Loan Agency, Custody and Fund Administration businesses.

The business offers comprehensive and customised agency and fiduciary solutions to support the full spectrum of capital market, asset management and fund industry transactions.

Read this next

Industry News

Robinhood posts strong numbers amid growth in funded accounts

Robinhood, one of the largest trading platforms in the US, has announced the results of the third quarter which shows some robust growth even though the company did not push ahead with any major plans related to crypto.

Inside View

MetaTrader 4 – What Is It?

MetaTrader 4 is the most widely used Forex platform among brokers. What are the platform’s primary features?

Digital Assets

BlockBank launches DeFi application with Robo Advisor

BlockBank, a large mobile banking platform, has announced the launch of its DeFi application which will combine decentralized finance with AI-powered technology to help traders and investors make better trading decisions in the crypto market.

Digital Assets

eToro announces crypto staking and underlying assets for Australians

Australian users opening cryptoasset positions on eToro can now purchase the underlying asset. Soon eToro will enable coin transfers from the eToro platform to the eToro Wallet.

Digital Assets

EQONEX announces international sales team to show off digital asset offering

“It is time to show the world the quality of the EQONEX group offering, and I am excited to welcome such a high caliber group of salespeople to the organization”.

Retail FX

Webull donates 8,000 Brooklyn Nets tickets to New Yorkers

“The entire Webull team is thrilled that our first-ever sports partnership is with the Brooklyn Nets, who are only five subway stops from our headquarters in New York.”

Digital Assets

AEX integrates with fiat and crypto custodians Banxa and Xanpool

Spot trading, flexible savings, DeFi mining, are several ways AEX Global allows users to participate in the wider crypto space.

Technology

Barchart launches Microsoft Excell add-in

“Whether looking to perform their own analysis, add other data sources, build macros or anything else leveraging the powerful features of Excel, we now provide that ability.”

Retail FX

Inceptial expands Belarussian FX broker into China and Japan

“We are fully aware of the needs, customs, aspirations and limitations of the different markets of Asia, after careful research. We look forward to sharing our success with our new Asian partners on this journey.”

<