Citco First To Reach $1T AuA Milestone Through Organic Growth

• AuA has grown organically, with
  zero acquisitions
• Private Capital, the largest
  growth area in recent years
• Continued expansion into APAC

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HONG KONG, CHINA - Media OutReach - 30 January 2019 - The Citco Group of Companies (“Citco”), a leading provider
of asset servicing solutions to the global alternative investment industry,
today announced that global assets under administration (“AuA”) have hit the US
$1 trillion mark. An important footnote to this achievement is that the milestone
was reached purely through organic growth, an industry first amongst alternative
asset service providers.

 

The growing drive to streamline operations is leading managers to
outsource more functions, including: front office risk reporting, middle office
treasury and collateral management, back office financial statements, and tax
and regulatory reporting. Simultaneously, growing diversification across asset
classes, moves into hybrid strategies and the launch of a wide range of
investment vehicles will continue to translate into growing complexities for
fund administration. Staying at the forefront of these developments has been
the driver of Citco’s investment in expanding internal talent and building out
service platform solutions, all with a view to ensure that clients have access
to the right tools in pivotal moments.

 

Citco’s philosophy, dubbed the ‘Citco Way’, is a commitment to
investment in the right people, and ensuring they are provided with the means
to succeed (e.g. investment in training and career management initiatives). It
also includes significant and sustained investment in proprietary technology.
Citco’s in-house team of technologists combine expertise in developing
award-winning technology products (Æxeo® Technology, Æxeo® Investor, CitcoOne®,
Citco Waterfall™, CitcoConnect) with the latest advancements in cloud-based
technology, to produce commercially available software.  In November 2018,
Citco launched Æxeo® Treasury, an
inaugural “born-on-the-cloud” solution that gives alternative fund managers a
state-of-art method of managing treasury functions through a SaaS tool running
on Amazon Web Services (AWS). Æxeo® Treasury enhances operational efficiencies and workflows, and provides a
secure, centralized module for treasury operations. The combination of Citco’s
commitment to service excellence and technology results in a “Fintech+”
approach, which will continue to ensure that clients’ interaction and
information assets are safe and secure.

 

The Citco Way has provided an edge that will allow the company to
stay at the forefront of industry innovation and provide clients with solutions
that are both efficient and scalable. Citco’s growth strategy, sustained by
investment in proprietary technology, has enabled the firm to focus on building
solutions which center on the needs of its clients, as opposed to spending time
trying to integrate multiple cultures and platforms.

 

“As a private company focused on servicing alternative investment
firms, and with the support of our ownership, the Smeets family — who founded
the business in 1948 — we have been able to adopt a long-term mindset when it
comes to investing in our people and proprietary technology. We have leveraged
that support to form relationships with clients that span decades. Our ability
to deliver the right solutions in support of our clients’ businesses and
investors has been of paramount importance to our success story.” said Jay
Peller, Head of Fund Services at Citco.

 

Peller also added, “As the regulatory framework increases in
complexity, and investors demand heightened levels of transparency from
managers, we expect our clients to increasingly rely on Citco for front-to-back
technology solutions that will allow them to focus on delivering outsized
returns for their investors.”

 

Citco currently operates across North America, Europe and Asia, with
specialized teams situated around the globe. Asia has been a strong driver of
growth for Citco, with AuA having grown 18% year to date across all lines of
business. The growth is a direct result of increasing demand from Asian
managers for Citco’s proprietary technology and subject matter expertise, who
are looking towards the further institutionalization of their operations.

 

Citco is continually recognized and awarded as an industry leader —
in just the past 12 months they have been awarded the following:

 

• HFM US Hedge Fund Services
  Awards Winner 2018: Best administrator – Fund of hedge funds
• HFM US Hedge Fund Services
  Awards Winner 2018: Best administrator – Best Treasury Management Solution
• HFM European Services Awards
  Winner 2018: Best administrator – over $30bn overall
• The Drawdown Private Equity
  Services Awards Winner 2018: Fund administration (Innovation)
• The Drawdown Private Equity
  Services Awards Winner 2018: Fund administration (Technology)

 

About
Citco Group of Companies

The Citco Group of Companies is a worldwide network of
independent financial service companies serving the world’s elite hedge funds,
private equity and real estate firms, institutional banks, Global 1000
companies and high net worth individuals. Citco companies service these sectors
in their respective geographic areas by offering fund administration, custody
and fund trading, financial products and corporate and trust planning
solutions. Citco has offices in over 40 countries with more than 6,000 staff.