Before the financial crash in 2008, it was common for hedge funds to have only one prime broker (PB). Since then, hedge funds have moved to a multi-prime model, to reduce risk and exposure to their PBs while taking advantage of what each PB offers.
We’re taking a deeper look at why:
- Prime brokers (PBs) must stay relevant and stand out to keep and gain hedge fund business in today’s market
- A prime broker needs to have a platform that supports core business functionalities, including robust trade capture, exchange connectivity, asset servicing and others
- Hedge funds are increasingly expecting enhanced capabilities (e.g. data, platform) and more flexibility from their PBs (e.g. charging, pricing)
Download our whitepaper to learn more. If you would like to share ideas, please reach us at Andrew.Dearman@capco.com.
To learn more, visit our Capital Markets industry page.