European ETF white labeller, HANetf, has announced its partnership with Tidal Financial Group, the US-based ETF investment and technology platform, to offer ETF white label services to one another’s clients.
Under the agreement, HANetf writes that it will extend its suite of services to include Tidal’s extensive client base, allowing them to access the diverse world of UCITS ETFs, ETNs, and ETCs.
Tidal will, in turn, provide HANetf’s clients and network the opportunity to venture into the US market with 40 Act and 33 Act ETFs, setting the stage for a seamless and integrated approach to both markets.
Through this partnership, the firm writes that both companies will be able to offer their clients flexible options to enter both or either of the European and US markets irrespective of their global footprints. This essentially bridges the gap between the European and US ETP markets for global asset managers looking to launch funds, the firm says.
“This dual approach can help to safeguard asset managers’ intellectual property by launching their IP in both wrappers and markets. It also facilitates access to a broader audience of global investors who may have specific preferences, such as tax considerations and time zones.”
The US and European ETF markets are the two largest ETF markets globally, and the collaboration between HANetf and Tidal will enable their clients to tap into both markets without compromise.
The firm writes that both wrappers are also popular in other geographies including Latin America and Asia. “Arguably, if asset managers want to deliver their investment strategies to a global audience they will be able to achieve this through issuing UCITS and 40 Act ETFs.
“HANetf can launch ETFs quickly, and cost-efficiently, via its company-owned Irish ManCo and ICAV platforms. It also supports SICAV depending on asset manager choice. Beyond ETFs, HANetf can also offer clients the ability to launch ETCs via its ETC platform, and other ETPs on its multi-asset platform. Since its first launch in 2018, HANetf has launched over 45 products and accrued over USD2.6 billion assets under management (AUM).
“Tidal owns and operates its own trusts, providing a robust platform for asset managers to enter the ETF market, and has partnered with over 54 ETF issuers with more than 118 leading ETFs on the market. It currently has over USD9.5 billion in AUM.
“Both HANetf and Tidal offer full fund management, regulatory, trade execution and operations services. In addition to infrastructure, both firms are equipped with comprehensive marketing and distribution capabilities, which are often regarded as the most challenging aspects of achieving success in the ETF market.”
Hector McNeil, Co-Founder and Co-CEO of HANetf comments: “We are very proud to announce our agreement to work with Tidal in order to offer US ETF white label capability to our clients. Since launching HANetf five years ago, we have had multiple requests from global clients to be able to offer both UCITS and US ETF capability.
“Working with Tidal matches up the leading US white label provider and Europe’s first and leading white label provider. Clients will be able to either supplement their UCITS ETF offering with 40 Act ETFs or if they haven’t entered the ETF market will be able to offer both wrappers to allow simultaneous launch in both of the World’s leading ETF markets in one fell swoop.
“Both firms own and have developed significant infrastructure including Irish Manco, ICAV and US Trusts making the infrastructure costs cost and time efficient. Both firms also have marketing and distribution capabilities which is arguably the hardest part of achieving success in the ETF market.”
Mike Venuto, Co-Founder and CIO of Tidal Financial Group comments: “We are excited to expand our relationship with HANetf. Over the past few years, we have participated in the growth of European ETFs as a sub-advisor to HAN clients. With this partnership, we are now able to connect our US based customers with our counterparts in Europe.”
“Recently, ETF Express recognized Tidal as the Best US White Label Platform due to our full service offering. Through this partnership, our clients will be able to repurpose the innovations, ideas and content we produce with them here to also access the European UCITS ETF market.”