London based fund administrator Fulcrum Group and New York based Butterfield Fund Services are merging to strengthen their position in the market. The new entity will be called Butterfield Fulcrum Group (BFG), said the companies in combined media release.
BFG will be based in Bermuda, a British overseas territory, in the and it will have $100 billion in assets under administration from nearly 1000 hedge funds, fund of funds, private equity and institutional investment management clients. The new company is likely to rank amongst the top ten independent alternative asset funds administration companies in the world.
3i, an existing shareholder in Fulcrum Group, will own a majority interest in Butterfield Fulcrum Group. Butterfield will retain a substantial equity stake in the new entity.
“This is an enormous win-win for both companies that will leverage sales and operational capabilities of Fulcrum Group, and the tremendous customer relationships and global reputation of Butterfield Bank Group.” said Akshaya Bhargava, Chief Executive Officer of Fulcrum Group. He added, “Our vision is to create the best fund administration company in the world.”
The new entity will have four hundred employees in ten locations across nine countries including India.