Ardevora Asset Management to Shut Its Trading Desk

The TRADE reports a surprising development and a surprising reaction

Ardevora Asset Management will shutter its desk and outsource its trading and execution to Northern Trust. The TRADE first reported the development on Friday. 

According to the report, the £6 billion fund manager plans to shutter its internal desk in April 2020. The TRADE reached out for comment to Northern Trust and Ardevora Asset Management. Neither offered any comment.

Ardevora Asset Management and Its Leaders

Neil Bond and Chris Mahoney have led the trading desk at Ardevora Asset Management. Bond, a UBS veteran, joined Ardevora in 2013. He plans to stay at the company until April 1. Mahoney will remain with the company and send orders through Northern Trust, according to the report. 

The decision to outsource execution is part of a larger trend in the asset management business. More companies are outsourcing execution as they face a demand to reduce costs. The Trade also reports that shutting down the desk is part of a broader effort to contain costs. 

Hayley McDowell at The TRADE reports that demand for greater front-office efficiency has been enormous. The combination of increased costs and falling fees has created a double-whammy for the industry. Northern Trust has capitalized by expanding its front-office outsourcing capabilities in 2018.

Related: Are Mutual Fund Managers Signaling A Selloff?

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

Subscribe


Alt Insights

November 20, 2019

Prison For the Man Who Tried to Scam The Mooch

Prison For the Man Who Tried to Scam The Mooch
Shape

Latest Alternative Investment News

Activist Carl Icahn Is Shorting Mall Owners – Should You?
November 20, 2019     Investments, Latest News, News, Real Estate

Activist Carl Icahn has taken another big bet against a sector. This time, the hedge fund manager is targeting mall operators. Icahn could earn $400 million or more if mall…

Here’s What’s in the Apollo Management 13-F
November 20, 2019     Investments, News, Private Equity

The Apollo Management 13-F reveals what the private equity and alternative investment firm bought and sold in the third quarter. While we cannot see or benefit from their private holdings,…

Fidelity Digital Assets Secures New York State License

Fidelity Digital Assets received a license from the New York State Department of Financial Services. The state regulator provided permission for the crypto-arm of Fidelity Investments to offer new services….

Prison For the Man Who Tried to Scam The Mooch
November 20, 2019     Headlines, Hedge Funds, Investments, News

Premium Point Investments trader receives 40 months in prison for a mismarking scheme. Anthony Scaramucci has received justice from the firm that caused Skybridge Capital about a $79 million loss….