Evli Fund Management Company Ltd, a Nordic fund management boutique with a prime focus on institutional investors, has expanded its distribution of fund products to the Middle East.
The firm has entered into an agreement with London-based Market Securities a global independent dealer-broker specializing in a broad range of financial products including cash equity, ETFs, equity derivatives, foreign exchange, futures & options, fixed income, structured products and commodities.
Under the terms of the agreement Market Securities' cross asset and structured solutions teams will promote and distribute Evli's credit, equity and alternative asset strategies to professional investors across the oil exporting Gulf countries.
Market Securities runs a very selective partnership strategy, where the manager's integrity, institutional credibility and capabilities, investment team resourcing, investment processes, as well as quality of its underlying products on offer are paramount - 'elements which are critical to the manager selection process', according to Mika Parviainen (pictured), manager at Market Securities.
'The funds are managed with well-defined investment processes, implemented with a consistent and active investment style,' said Parviainen, adding that Evli has been able to gain 'a strong and credible track record among institutional investors'.
Market Securities desk is dedicated to issuing primary products as well as securing liquidity on secondary markets for illiquid products. The firm also specialises in providing services covering the entire lifecycle of the product, from its inception to maturity or sale/unwinding.
'We pride ourselves on offering due diligence and market intelligence, the best market price ensured by anonymity, and seamless execution services,' said a spokesperson at Market Securities, adding that the firm caters to a range of clients, including private banks, family offices, asset managers, regional and 2nd tier banks and life assurance companies. 'Our clients do not include any market-makers or dealers. We establish long-term relationships with our clients, building solid and fruitful partnerships.'
There are 175 products on the Finish database marketed by Evli Pankki of which 76 are still live including 51 structured notes and 25 certificates. Since 2016 when it sold €22m across 24 products, the Finnish bank has had a marginal presence in the market. In 2017, the bank was the eighth most active bond provider in Finland with seven structured products sold by WallStreet Asset Management.
SRP data shows that the Finnish market remains dominated by Pohjola Pankki with approximately 33% market share followed by Danske Bank (25%), and SEB (17%), as the most active bond providers, whereas the ranking of distributors was led by OP Pohjola Group (33% market share), followed by Alexandria (18%) and Danske Bank (12%).
Evli group released on Friday its half year financial report which showed a 26% increase to €9.1m in operating profit in the wealth management and investor clients segment. The firm stated that demand for Evli's products has remained stable and assets under the group's management have grown substantially in recent years, which would soften the result-impact of any reversal of the market.
'There has been positive development in the demand for advisory services, and its outlook for 2018 is stable,' stated the bank. 'Customer's demand for Evli's products and services has developed positively, which has also led to a systematic increase in lending. In the advisory business and in own investment activities, substantial fluctuations in annual returns are possible.'
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