Allfunds and Credit Suisse said they have agreed to merge Credit Suisse’s InvestLab with Allfunds. Financial terms weren’t announced. Hellman & Friedman and GIC will continue to own a majority of Allfunds, while Credit Suisse will become a minority shareholder with a distribution relationship with Allfunds. The combined business will distribute over 78,000 funds and ETFs to more than 700 distributors across 45 countries and have AuA of more than 500 billion euros.
Allfunds and Credit Suisse create a €500bn+ AuA Wealth Technology Platform
Allfunds and Credit Suisse today announce that they have entered into an agreement to combine Credit Suisse’s open architecture investment fund activities, Credit Suisse InvestLab, with Allfunds. With over €500 billion in assets under management (AuA) operating across 45 countries the combined business will become a leader in fund distribution and wealth platform technology.
Combination Creates A Global Wealth Platform with >€500 billion in AuA
Allfunds, an independent provider in the wealthtech industry and with a successful fund distribution business in Europe, continues its expansion through the combination with Credit Suisse InvestLab, one of Europe’s leading B2B fund and ETF platforms. The combined business will distribute over 78,000 funds and ETFs to more than 700 distributors across 45 countries and AuA of more than €500 billion.
Accelerated investment in new services for Asset Managers & Distributors
The combination will allow Allfunds to accelerate and expand its investment into the development of new services and solutions to the benefit of the funds eco-system, comprising of asset managers, fund distributors and other intermediaries.
The transaction announced today includes the transfer of all shares in Credit Suisse InvestLab, its team, technology and related service and distribution agreements by Credit Suisse to Allfunds Group. InvestLab’s management team will take senior leadership positions within the combined business and Credit Suisse will use the platform as part of its client offering. Allfunds will continue to operate independently, with majority ownership held by Hellman & Friedman and GIC, and Credit Suisse will become a minority shareholder with a distribution relationship with Allfunds.
The deal between Allfunds and Credit Suisse marks a significant combination in the platform space, materialising consolidation amongst well-established institutional fund platforms. With this arrangement, Allfunds continues its global expansion into new territories while consolidating business ambitions in Asia and Central Europe. Allfunds will also increase its capabilities and physical presence in Switzerland, which will become a key business hub for the Allfunds Group.
Juan Alcaraz, CEO of Allfunds, said,
“With the combination of InvestLab and Allfunds we are creating a stronger player in the platform and wealth technology space. Credit Suisse is one of the most esteemed wealth management brands in the world and their cooperation with Allfunds is testament to Allfunds’ attractive proposition in the sector. We are truly excited to welcome the InvestLab team to Allfunds. With this combination, we continue our global growth and commitment to enhance our service offering to fund houses and distributors by offering the most innovative technology, digital solutions, and data analytics available in the market.”
The transaction, which is subject to customary closing conditions, including anti-trust and regulatory approvals, will be implemented in staggered closings. Closing of the transfer of Credit Suisse InvestLab to Allfunds is expected during Q3 2019. Subsequent transfer of the related distribution agreements by Credit Suisse is expected to be completed in Q1 2020.