2Xideas Expands Partnership with Northern Trust
Northern Trust is excited to announce the strengthening of its partnership with 2Xideas AG, a Switzerland-based investment firm. This strategic collaboration is set to expand into Integrated Trading Solutions (ITS), marking an important milestone in their working relationship.
Background on 2Xideas AG
Established in 2013, 2Xideas AG has made a name for itself in the financial arena, focusing on liquid mid-cap stocks. The firm currently manages approximately US$2 billion in assets, showcasing its strong growth and successful investment strategies. Their partnership with Northern Trust began in 2022, initially centered on fund accounting, financial reporting, and various custodial services. Now, this relationship is set to evolve further with the addition of integrated trading solutions.
Investment Philosophy and Approach
2Xideas has a unique approach to investing, aiming to discover promising mid-cap companies during their early stages. Using their proprietary Analysis and Collaboration Engine (ACE) platform, they blend traditional research methods with advanced data science to identify investment opportunities that are expected to yield significant returns, typically projected to double over a period of five to seven years.
Northern Trust’s Role in the Partnership
With this extended partnership, Northern Trust will offer its exceptional outsourced trading services to the funds and managed accounts of 2Xideas. This collaboration aims to streamline their trading processes, allowing 2Xideas to focus on delivering excellent results to its clients.
Comments from Leadership
Roger Meister, the CEO of 2Xideas, shared his enthusiasm about this enhanced collaboration, stating, “By expanding our current relationship with Northern Trust, we expect a substantial boost to our operational efficiency. Their ITS offering allows us to access significant liquidity while keeping our attention on our clients’ needs.”
Furthermore, Amy Thorne, who leads Integrated Trading Solutions for Northern Trust in Europe, the Middle East, and Africa, emphasized the advantages of their strong agency operating model. This model allows for cost-effective growth and improved business resilience. She mentioned that Northern Trust’s well-regarded outsourced trading desk is recognized for its superior execution, positioning them perfectly to support 2Xideas effectively.
The Value of Integrated Trading Solutions
Northern Trust’s ITS is crafted to boost operational efficiency for asset owners and managers worldwide. By providing focused agency-only trading expertise, it helps reduce costs, manage risks, ensure compliance with regulations, and enhance transparency in trading processes. The harmonization of these services aligns perfectly with the collaborative goals of both Northern Trust and 2Xideas.
Specialized Services Offered
Northern Trust's ITS offers global trading expertise across equities, fixed income, and derivatives, along with comprehensive coverage and high-quality liquidity access. This superior service is expected to strategically position 2Xideas in the market.
About Northern Trust
Northern Trust Corporation is a leading provider of wealth management and asset servicing solutions. Founded in Chicago in 1889, the company has developed a strong global presence, with assets under custody of around US$16.6 trillion. With over 130 years of expertise, Northern Trust continues to be recognized for its commitment to financial integrity, expertise, and innovative service solutions.
Commitment to Transparency and Regulation
As a regulated entity, Northern Trust is dedicated to abiding by various financial regulations across jurisdictions. Their extensive range of services includes foreign exchange and securities lending, showcasing their adaptability to the needs of modern investment firms.
About 2Xideas AG
2Xideas AG is focused on generating long-term value for its investors by investing in high-potential mid-cap companies. Their structured investment strategy emphasizes thorough research and innovative analytics, aiming to deliver significant returns within a manageable timeframe. The firm meets compliance standards set by Swiss financial regulatory authorities, providing an additional layer of trust for its clientele.
Frequently Asked Questions
What is the significance of the partnership between 2Xideas and Northern Trust?
This partnership allows 2Xideas to utilize Northern Trust’s Integrated Trading Solutions, improving their trading efficiency and overall operational processes.
What investment areas does 2Xideas focus on?
2Xideas primarily targets liquid mid-cap stocks, employing a distinctive strategy aimed at identifying high-potential companies during their growth phases.
How long has Northern Trust been working with 2Xideas?
Northern Trust has been collaborating with 2Xideas since 2022, initially offering fund accounting and custodial services.
What does ITS provide to investment firms?
Integrated Trading Solutions provide substantial advantages, including cost savings, risk management, and enhanced transparency, all essential for today’s asset management landscape.
Where is Northern Trust headquartered?
Northern Trust is headquartered in Chicago, Illinois, and has established a strong global presence with multiple offices in key regions.
