SimCorp has announced a merger with factor risk model, portfolio construction tool and multi-asset class enterprise risk solution provider Axioma.
The announcement follows the acquisition of SimCorp by Deutsche Börse Group in September 2023. Axioma has been part of Qontigo, a Deutsche Börse Group subsidiary, since 2019.
Axioma became a strategic partner of SimCorp in 2021, with its portfolio optimisation and risk analytics capabilities made available to the latter’s investment management platform clients. The joint value proposition has sparked a number of appointments by clients, including Hassana Investment Company, AP3 and AP4.
Currently, SimCorp provides the technology backbone for more than 300 major financial institutions, while more than 380 investment managers use Axioma’s solutions worldwide. Following the merger, SimCorp’s open platform strategy and the Axioma brand will remain available to other risk management and investment management platform providers respectively.
Christian Kromann, CEO of SimCorp, says: “To succeed in today's rapidly evolving investment landscape, a flexible and holistic approach to portfolio construction and risk management is essential. The combined strength of SimCorp and Axioma makes our agile, front-to-back platform market-leading.
“By merging with Axioma, SimCorp further strengthens our presence in key markets, such as North America, which is our primary growth market. This paves the way for accelerating growth. Over the past two years, our partnership has proven highly successful, and by strategically utilising each other’s market positions, we can now access a broader market with an even stronger offering.”
