Our free FinTech update also covers a special SEC-CFTC meeting, Xenomorph hiring from FIS, and KGI Asia revamping its trading systems.
AxiomSL to Expand Offerings via Takeover
A cloud-based risk management and regulatory solutions vendor AxiomSL has agreed to be taken over by Thoma Bravo, a private equity firm specializing in the software and technology-enabled services sectors, so that it can grow its customer base and expand its offerings.
AxiomSL serves banks, investment management firms, broker-dealers, and commodity trading institutions. “The transaction is expected to close by the end of the year, subject to customary closing conditions. Financial terms were not disclosed,” officials say.
The vendor, founded by Alexander Tsigutkin, CEO, and Vladimir Etkin, chief technology officer (CTO), offers ControllerView, a data management and analytics platform for cloud-based, risk management and regulatory solutions.
“Thoma Bravo has a proven track record of accelerating innovation and growth at leading software companies, as well as a strong appreciation for our values of client success, integrity with accountability, excellence in innovation, diversity of perspectives and internal and external collaboration,” Tsigutkin says in a prepared statement.
“The problems AxiomSL’s solutions help solve are only getting more complicated, and we believe the company is well-positioned to deliver for its customers, especially as more of this critical functionality moves to the cloud,” says Brian Jaffee, a principal at Thoma Bravo, in a statement.
Evercore is acting as financial advisor and Weil, Gotshal & Manges LLP is serving as legal advisor to AxiomSL, officials say. Kirkland & Ellis is serving as the legal advisor to Thoma Bravo.
SEC & CFTC’s Meeting Will Tackle Derivatives Rules
The SEC and the CFTC are slated to hold a rare, joint open meeting on Thursday, Oct. 22, starting at 10 a.m. (EDT) and ending at Noon, to review actions and invite public opinion on rules involving both commissions.
The regulators will consider the following at the virtual meeting:
- A Joint Final Rule on Customer Margin Rules Relating to Security Futures: The regulators will “consider whether to adopt rule amendments to align the minimum margin required on security futures with other similar financial products.”
- A Request for Public Comment: The commissions want input on portfolio margining of uncleared swaps and non-cleared security-based swaps. They “will consider whether to issue a request for comment on the portfolio margining of uncleared swaps and non-cleared security-based swaps. The request for comment would solicit comment on all aspects of the portfolio margining of uncleared swaps, non-cleared security-based swaps, and related positions, including on the merits, benefits, and risks of portfolio margining these types of positions, and on any regulatory, legal, and operational issues associated with portfolio margining them,” officials say.
Members of the public can view the meeting streamed via www.sec.gov and www.cftc.gov or listen via phone. The domestic toll-free number is 1-877-951-7311 with conference passcode: 2608512. The CFTC is providing a link to international numbers at https://bit.ly/35kM8Ir and a live feed its YouTube channel. People requiring special accommodations because of disabilities should email firstname.lastname@example.org , officials add. Materials presented at the meeting will be made available online.
Xenomorph Taps FIS for EMEA-APAC Sales Director
Xenomorph, a provider of data management and analytics solutions, has appointed industry veteran Neil Sheppard as a director of sales and account management, officials say.
Before joining Xenomorph, Sheppard was managing director for the XSP division of FIS, where he helped XSP through the SunGard acquisition in 2012, and a larger scale merger into FIS in 2015, officials say. Sheppard’s prior senior posts were at Magenta One Ltd., and via the financial services sector at Union Bank of Switzerland (UBS), Morgan Stanley and Citigroup.
Sheppard will be based in London and he will report Ron Zeghibe, CEO of Xenomorph. He will mostly focus on the vendor’s EMEA and APAC businesses, officials say.
KGI Asia Picks Itiviti’s OMS to Revamp Trading
One of the largest equity brokers in Hong Kong, KGI Asia, will be using Itiviti’s multi-asset, order management system (OMS) for high and low-touch trading to bolster its institutional, wealth management, and brokerage businesses, officials say.
The trading stack of the OMS will automate the firm’s “entire trading operations across Care and DMA customer flows, providing superior execution services on regional and international markets,” officials say.
Implementing Itiviti’s OMS “represents a strategic move for us and we look forward to supporting new customer segments, from global clients seeking regional execution expertise, to local low-latency players seeking outstanding performance and speed from their brokers,” says Trevor Lee, director, financial market services, KGI Asia, in a prepared statement.
Beyond the OMS, Itiviti provides access to a community of buy-side and sell-side firms via the NYFIX network, client onboarding, execution support, risk management, and low-latency routing to execution venues or trading counterparties, officials say.
The vendor also offers post-trade services, custom reporting to clients, and regulatory compliance.
KGI Asia Ltd. is a subsidiary company of China Development Financial Holding Corp., and was founded in Hong Kong in early 1997, officials say. KGI offers investment products and services such as securities, futures, corporate finance, fixed income, equities, derivatives, wealth management and personal investment services.