ConvergEx Buys Boutique Prime Brokerage Firm

Nov 23 2009 | 6:51pm ET

ConvergEx, a provider of investment and execution technology solutions for institutional clients, has agreed to acquire prime brokerage firm NorthPoint Trading Partners.

With the acquisition, ConvergEx will now offer small- and medium-sized hedge funds access to a full range of prime brokerage and agency execution services through NorthPoint’s high-touch service model and established clearing and custody agreements.

The deal is expected to close in the near term, and financial terms of the agreement were not disclosed.

“ConvergEx has well-established execution and technology relationships with many of the world’s large hedge funds and we understand the nuances of what hedge fund managers need to succeed. This acquisition is a natural extension to those relationships and enables us to offer smaller hedge funds wide-ranging services and expertise embedded in the high-touch service model that is so important to them,” said Joseph Velli, chairman and chief executive officer of ConvergEx Group. “Additionally, as we integrate this new business line, NorthPoint’s clients will reap many benefits from leveraging ConvergEx’s state-of-the-art technologies and products.”

Douglas Nelson, chief executive officer of NorthPoint, and Michael DeJarnette, NorthPoint’s president, will continue in their respective roles at ConvergEx.

“We are all thrilled to have joined the ConvergEx family. Together we believe we can offer the next generation of boutique prime brokerage services,” said Nelson.

NorthPoint will continue to be based out of Atlanta, Georgia, and all of its clearing and custody arrangements, products, partnerships and projects will continue uninterrupted. According to both firms, NorthPoint clients can expect to see a broad range of additional products and services from ConvergEx that they can choose to employ, including a 24-hour global agency trading platform, an industry-leading commission management system and enhanced soft dollar services.


In Depth

Whisky Business: The Ultimate Liquid Alternative Investment

Sep 15 2014 | 7:02am ET

David Robertson knows his single-malt whisky—he was the Master Distiller at the...

Lifestyle

Hedgies Rock Out For Children's Charity

Sep 15 2014 | 8:40am ET

It's that time of year again—when hedgies trade in their spreadsheets for guitars...

Guest Contributor

Volkered: How Financial Sector Reforms are Creating Opportunities for Hedge Funds

Sep 16 2014 | 11:28am ET

New regulations have dramatically curtailed proprietary trading activity in investment...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

July/August 2014 Cover

In search of the ‘new normal’ at the Fed

The Federal Reserve keeps baby-stepping toward a “normalization” of monetary policy. But just what is normal?

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.