State Street has agreed to acquire Mercatus, a solutions and data management provider for private market managers with over $1 trillion in invested capital.
The transaction, which was set to be completed in September, would subsequently see State Street launch its solution to private markets State Street Alpha for institutional investors.
This would allow them to manage the lifecycle of their infrastructure, private equity, real estate, private debt and fund of fund investments through a single platform. It would also give them more visibility into asset and fund level data, better transparency and improved client service levels.
Paul Fleming, executive vice president and global head of State Street’s alternatives segment, said: “Institutional investors are turning to the private markets as the hunt for alpha intensifies. Expanding our alternative offerings will help us meet the multi-faceted needs of these investors and provide our clients with even more solutions”.
"Investors in both public and private markets are realising the risk and inefficiencies created across their bespoke front, middle, and back-office solutions," said Haresh Patel, chief executive of Mercatus.
"We are excited to join forces with State Street and Charles River Development to achieve a new one office vision and deliver a fully integrated front to back; public to private; technology, data, and services offering all under one platform."
While the Financial Advice Association Australia said it supports a performance testing regime “in principle”, it holds reservations about expanding this scope to retirement products.
In a Senate submission, the Financial Services Council said super funds should be able to nudge members on engaging with their super and has cautioned against default placements.
The Joint Associations Working Group, which counts FSC in its ranks, has issued an urgent warning to the government.
Senator Jane Hume will join the speaker lineup at the inaugural Australian Wealth Management Summit.
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