F-Squared Investments has partnered with SoHo Asset Management (SoHo) to use its Portfolio Replication Technology investment capabilities to create and manage model portfolios for SoHo’s clients in Singapore and the United States under SoHo’s Replicas brand.
SoHo is a US-based asset management company that has expanded its presence as a technology firm and data provider to SouthEast Asia, via Singapore. Since early 2014, the company has been coordinating with the Singaporean regulators at The Monetary Authority of Singapore for an expanded launch of their services. During this time, the company has been in extensive due diligence and Beta tests of their Replicas product launch tailored to institutional and retail clients throughout the region. Clients of SoHo’s Replicas strategies intend to offer low-cost access to Active Management of Mutual Funds to their institutional base.
The deal represents F-Squared’s entry into the Asian investor market, adding an important new region to its existing international business in Canada. Singapore is a crucial market given the country’s focus on financial services, its concentration of private wealth, and its high credit rating. It also represents an endorsement of F-Squared’s leading edge investment technologies which include its AlphaSector® strategies in addition to its Portfolio Replication Technology investment capabilities.
SoHo’s founder, chairman of its investment committee, and senior portfolio manager, Frank T Troise said: “We have enjoyed our international partnership with F-Squared this past year as we extensively Beta tested the product in the Singaporean market. We have all been impressed by the world-class capabilities of F-Squared’s portfolio replication technology capabilities, its team members, and believe our partnership will considerably enhance our capabilities in serving our clients’ investment goals.”
F-Squared CEO, Laura Dagan, says: “We are excited to partner with Frank and his team in Singapore to use our best-in-class Portfolio Replication Technology investment capabilities for the benefit of his clients. Additionally, we are delighted that this partnership with SoHo allows us to expand our international opportunities into the fast-growing Asia investment market.”
Under the agreement, F-Squared will leverage its technological capabilities to provide replicated model portfolios designed by SoHo for SoHo’s unconstrained Replicas large cap and small cap blends. As the Replicas offering expands, it will be offered as a bespoke model to larger institutions.
“F-Squared is at the forefront of a fundamental change in financial technology, and we realise we are in the early innings,” says Troise. “We look forward to what lays ahead for the future.”