overview - amazon s3 · • private equity and real estate funds • islamic funds • microfinance...

Overview2017

European Fund Administration

EUROPEAN FUND ADMINISTRATION OVERVIEW 2017 3

European Fund Administration (EFA) is a specialised investor services firm and a market reference for tailor-made services and expert management techniques.

We are a neutral and independent firm with the highest standards of governance. We embrace open architecture. We currently work with 188 fund companies, 96 depository banks and 61 management companies.

In this overview we present our key figures from 2017 and insights into how we are developing our business to serve our clients’ needs.


Table of contents

Message from our Chairman and CEO 7

Clients 10

Key figures & Shareholders 11

Board of Directors 14

Executive Committee 15

Mission & services 18

Anticipating needs and providing a comprehensive service range 19

On-going international development 21

Recognised expertise in specialised segments 22


Dear Sir, Madam,

During 2017, total assets grew in all segments with a 15% rise overall. EFA maintained its leading position as an independent and open fund servicing platform working with 188 fund initiators and institutional clients in addition to building on a network of 96 depositary banks and 61 management companies.

With an active position in the Nordic markets and a 17% growth in assets overseen by our French branch, EFA administered nearly 250 non-Luxembourg domiciled funds representing more than €21 billion at year end. EFA’s inter-national platform and multi-jurisdictional solution portrays its commitment toa solid and sustainable growth outside of Luxembourg.

In 2017, we pursued our investment programme to expand data management and reporting capabilities while continuing to reinforce our fund administration platform. Flexibility and operational flow automation have enabled us to increase productivity and concentrate on high value-added services.

Interacting with our client base has helped us anticipate their requirements and provide a comprehensive range of services and tailor-made solutions, includingregulatory reporting, risk management, pricing, investment compliance and extended AML monitoring. In 2017, we extended our regulatory and fiscal product offer and made significant developments in our product range leading to the successful launch of PRIIPs, MiFID and tax services.

EFA’s dedication to quality service and agility in serving client needs are core values built into our business model.

We take this opportunity to thank our stakeholders for their commitment, our clients for their loyalty, our employees for their dedication and our shareholders for their trust.

In November 2017, Noel Fessey joined EFA to prepare for his role as CEO as of 1 January 2018. We would like to express our gratitude to Thomas Seale for his commitment to EFA and 20 years of leadership.

Message fromour Chairman and CEO

Noel FesseyCEO

Rafik FischerChairman of the Board of Directors


“Since more than 10 years, Bellatrix AM, as is the case for other fund managers, has had to deal with major challenges in terms of investor protection, transparency and compliance. Thanks to its positioning and experienced teams, EFA has been able to adapt, innovate and support us in making our story a success.”

“Cigogne Management SA focusses on alternative investments. We set up arbitrage strategies among all asset classes that require first class operational treatment. We have been working with EFA for more than 10 years and have been able to appreciate during these years their professionalism and their reactivity. We are a demanding client but have always met competent people who listen to our needs and expectations.”

“Since the creation of our company in 2006, our investment funds are administered by EFA. Our collaboration is a matter of systems, but more importantly of people. At EFA we find the responsiveness we are looking for.”

François HaquenneManaging DirectorBellatrix Asset Management

Guillaume BinnendijkManaging Director / Chief Risk OfficerCigogne Management

Michèle BielDirectorConventum Asset Management

We apply agility and promote innovation to offer optimal client service quality. We invest in technical and human resources to provide an unparalleled client experience.

EUROPEAN FUND ADMINISTRATION OVERVIEW 201710

European Fund Administration is proud to work with 188 of the top investment managers, insurance companies, management companies and banks in the world, including :

Clients


Million €of shareholders’equity

BANQUE DE LUXEMBOURG

Depositary bankslinked to EFA

Billion €of assets underadministration

KBL EUROPEANPRIVATE BANKERS S.A.

Million €turnover

BANQUE ET CAISSE D’ÉPARGNE DE L’ÉTAT

Fundsunder administration

EFA PARTNERS

Clients

ODDO BHF

Managementcompaniesworking with EFA

Key figures

Shareholders

24.7

24.23%

96

125.6

35.56%

57.6

10.51%

2,359

24.70%

188

5.00%

61


“Since 7 years EFA is our main outsourcing partner for fund administration and transfer agent services. We appreciate the high quality of EFA’s services and the continuous readiness to react quickly and flexibly on individual customer requirements.”

Thomas ZimmerMember of the BoardFeri Trust (Luxembourg) S.A.

“EFA’s expertise and experienced teams have enabled us to support our shared clients in developing and structuring impact finance initiatives”.

“Should you be seeking a professional, reliable and supportive service provider, EFA is clearly the right choice. Their client-minded approach with their customized services is clearly what we are looking for !”

Paola D’AngeloDirectorInnpact

Aurélien BaronConducting OfficerKredietrust Luxembourg

We offer tailor-made solutions and assure responsiveness with attention to detail. Our client relationship team and operational departments are based in Luxembourg and Paris allowing client proximity and seamless integration.


Mr. Rafik FischerChairman

Member of the KBL Luxembourg Management Committee,Head of Global Institutional& Professional ServicesKBL European Private Bankers

* as of January 1, 2018

Mr. Rodolphe Belli

Senior Vice President Head of Secretary General Banque et Caisse d’Épargnede l’État

Mr. Nico Thill

Director Head of InvestmentFund Services,Banque de Luxembourg

Mr. Noel Fessey

CEOEuropean Fund Administration

Mr. Grégoire Charbit

Managing PartnerOddo BHF

Board of Directors*

Mr. Serge D’Orazio

Head of Institutional& Professional Services KBL European Private Bankers

Mr. Fernand ReinersVice-Chairman

Member of the Executive Committee,Banque de Luxembourg

Mr. Paolo Vinciarelli

Senior Vice PresidentHead of Institutional Clients,Banque et Caisse d’Épargnede l’État


Mr. Noel FesseyCEO

Mrs. Françoise DumontDirector

Finance, Risk Management,Legal & Compliance

Mr. Frédéric BilasDirector

Operations

Mr. John GlesenerDirector

Information Technologyand Organisation

Mr. Claude HoffmannDirector

Commercial, Product& Strategic Development

Executive Committee


We promote innovation and continuously develop new products and services by closely tracking market and regulatory trends.

“EFA est devenu l’un de nos partenaires en 2015, lorsque ROUVIER ASSOCIÉS a fusionné ses OPCVM français en SICAV luxembourgeoise. Nous apprécions l’efficacité et la compétence de ces équipes et développons jour après jour des relations de confiance.”

“EFA is committed to refining their processes without losing the personal connection with their clients.”

“EFA : un prestataire de confiance qui nous offre une qualité irréprochable, une disponibilité technique et commerciale qui ne s’est encore une fois pas démentie au cours de cette année passée et qui appelle à un accroissement logique de notre partenariat dans le cadre d’une règlementation de plus en plus exigeante.”

Marc de RoüalleDirecteur Général DéléguéRouvier Associés

Niklas VesterlundConducting OfficerSöderberg & Partners Asset Management S.A.

Pascal BernachonDirecteur de la gestionKBL Richelieu Gestion


Our services

• Net Asset Value calculation, bookkeeping and portfolio valuation• Middle-office and order management• Transfer agent and registrar• Fiscal data processing• Compliance & risk management• Performance measurement & attribution• Domiciliation• Financial and regulatory reporting solutions• Reconciliation and cash monitoring

On behalf of

• UCITS and AIF• Hedge funds and funds of hedge funds• Private equity and real estate funds• Islamic funds• Microfinance funds• Specialised funds• Pension funds• Unit-linked life insurance products• Depositary banks• Management Companies or Alternative Investment Fund Managers

As an independent investor services company, our mission isto provide our clients with a wide range of services designed specifically for their needs and circumstances. We do this through investment funds, non-fund investment vehicles and the provision of specialised institutional services. We are equal-ly expert in classical and alternative techniques. Service agility and operational excellence are at the heart of our work.

Mission & services


One feature that sets EFA apart is our commitment to anticipate regulatory changes that remain a key driver in the investment fund industry and to design solutions for our clients leading to the timely development of value added services.

Anticipating needs and providinga comprehensive service range

PRIIPs services

Leveraging on its expertise and success in producing UCITS-KID documents, EFA has developed a comprehensive solution for the production of PRIIPs-KID. EFA calculates all required key data, ensures the management and translation of the narratives and delivers a ready to use end-product to its client. In addition to the production of the PRIIPs-KID document, EFA also provides a structured set of data that can be transmitted by the funds to their institutional investors seeking to comply with their own PRIIPs obligations.

Provision of data under MiFID II

EFA ensures the production of the standardised data files on behalf of the funds and as requested by distributors to fulfill the requirements of MiFID II.

Dissemination services

EFA provides an infrastructure for the automatic distribution of documents, files, and data to information exchange platforms, distribution networks and investors. This dissemination tool enables us to meet expectations of the various recipients. Documents are secure and fully traceable.

Services for the calculation of the equity ratiounder the German Reform Act

EFA has developed in 2017 a solution for equity and balanced funds (including funds of funds) to compute, monitor and publish the funds’ effective ratio of equity participation “Kapitalbeteiligungsquote” with each NAV, starting 1 January 2018.


Fundsadministered byEuropean FundAdministration S.A.France

18.3 206

Thanks to its international platform, EFA administered nearly 250 non-Luxembourg domiciled funds representing more than 21 billion euros at year end 2017.

France still holds a leading position in this development since net assets of funds - administered by our French branch, based in Paris - represented more than 18 billion euros at the end of 2017. The dynamism of the French private equity and real estate funds market contributed to the growth of EFA’s business. The flexible and tailor-made services offered by our French branch corresponds perfectly to managers’ expectations for these alternative strategies. We have also accompanied many French clients on current regulatory issues in offering operational solutions as of 1 January 2018 for PRIIPS and MiFID challenges.

In addition, our multi-jurisdictional solution has allowed us to progress in the Nordic markets and more specifically for Swedish funds. Finally, our offer also covers funds domiciled in the Cayman Islands, the British Virgin Islands, Malta and Liechtenstein.

One of the pillars of EFA’s strategy is our commitment to strong, sustainable growth in international markets.

On-going internationaldevelopment

Billion €of assets underadministration forEuropean FundAdministration S.A.France


In 2017, EFA was among the leading service providers in Specialised Investment Funds (SIF), Unit-Linked portfolios and other highly specialised segments, such as Responsible Investing. ESG, micro-finance, environmental, impact finance and faith based funds represented 1.9 billion euros in assets under administration.

EFA Private Equity

EFA Private Equity, our business line specialising in private equity and real estate funds, provides tailor-made solutions to 99 sophisticated investment structures. In 2017, total assets administered rose 14%.

At 31 December 2017, this business accounted for 18.9 billion euros in assets under administration, making EFA one of Luxembourg’s top administrators of private equity and real-estate funds.

Reflecting our positioning as an open and independent platform, we served 188 promoters and 61 management companies in 2017. We maintain operational flows with 96 depositary banks and 16 prime brokers.

Recognised expertise inspecialised segments

Growth rate Investmentstructures

14% 9918.9Billion €of assets underadministration


EFA Hedge Fund Services

At the end of 2017, our Hedge Fund Services business unit looked after 184 sub-funds, representing 19 billion euros in total.

This volume, along with our long experience in both hedge funds and funds of hedge funds, makes EFA one of the leaders in this field in Luxembourg.

Growth rate Sub-Funds

19% 18419Billion €of assets underadministration


European Fund Administration was honoured by the presence of Luxembourg’s Minister of Finance, Pierre Gramegna, on the occasion of a client event at year end. Thomas Seale, who retired, was recognised for his 20 years as CEO and Noel Fessey was presented and welcomed in his new role.

From left to right: Minister Gramegna, Thomas Seale, Rafik Fischer, Noel Fessey.


Corporate Social Responsibility (CSR) is the continuing commitment to behave responsibly by integrating social and environmental concerns into business operations.

To confirm its engagement, EFA was granted the EcoVadisTM Silver Recognition level, based on their CSR rating.

The EcoVadisTM methodology which covers environment, fair labour practices, ethics/fair business practices, and supply chain criteria, is built on international CSR standards including the Global Reporting Initiative, the United Nations Global Compact, and the ISO 26000.

©2018 European Fund Administration S.A. All rights reserved

The portrait pictures published in this report represent some of the +500 members of staff employed by European Fund Administration based in our two locations: Luxembourg and Paris.

European Fund Administration S.A.2, rue d’AlsaceL-1122 LuxembourgTel.: +352 48 48 80 80Fax: +352 48 65 61 89 [email protected]

17, rue de la BanqueF-75002 ParisTel.: +33 1 53 05 39 55Fax: +33 1 42 68 31 [email protected]

www.efa.eu