PRNewswire – Source, a global investment firm and one of the fastest-growing Exchange Traded Fund (ETF) providers in Europe, is bringing its distinctive approach, established track record and considerable resources to the U.S. market.
The firm’s U.S. launch is spearheaded by a management team of ETF veterans led by co-founders Ted Hood, CEO and Peter Thompson, President. They are joined by Executive Chairman Lee Kranefuss, an ETF pioneer and the architect of iShares, and Senior Advisor Richard Goldman, formerly CEO of Rydex|Security Global Investors and COO of Guggenheim Investments.
Earlier this year, Warburg Pincus, a global private equity firm focused on growth investing, acquired a majority stake in Source, joining the firm’s management team and five of the world’s largest investment banks—BofA Merrill Lynch, Goldman Sachs, J.P. Morgan, Morgan Stanley and Nomura—as shareholders.
“Entering the U.S. is the next step in the growth of our global business,” Mr. Thompson said. “We see a tremendous opportunity to deliver market-driven, value-added products to American investors, and are excited about the opportunity to serve the U.S. market.”
Source has an impressive 5-year track record in the European Exchange Traded Product market. The firm’s diverse family of specialized differentiated equity, fixed income, commodity and alternative assets investment products—and partnerships with some of the most well-respected asset managers in the industry—has attracted more than $19 billion in AUM and more than $575 billion in investor trades since launching their first products in 2009.
“As a global independent ETF firm, we are unconstrained internally and free to partner with the world’s leading money managers and other providers of investment content, while still enjoying the support of the largest financial institutions and trading firms,” said Mr. Kranefuss. “These partnerships put Source in a unique position to offer investors access to investment strategies to serve their needs that were previously unavailable and give world class managers exposure to an untapped audience.”
Source’s first investment product for the American market, the Source EURO STOXX 50 ETF, offers highly liquid exposure to the index of choice for European equity markets. The EURO STOXX 50 Index is comprised of 50 of the largest companies domiciled in the Eurozone and is the primary hedging tool used by global trading desks. This ETF is the latest product created from Source’s five-year relationship with the index provider Stoxx.