SS&C brings expert software, services, hosting, and independent fund administration under single roof for Boston-based investment firm.
SS&C Technologies Holdings, Inc. (Nasdaq: SSNC), a global provider of financial services software and software-enabled services, today announced that Quantopian has chosen SS&C as a key partner in support of its investment operations.
Quantopian, an investment firm that offers a free online platform for education and creation of institutional-quality investment algorithms, will utilize SS&C Geneva® for portfolio management and reporting, and Recon™ for reconciliation and exception management. To help manage Geneva, the company is also utilizing operational services. This includes handling day-to-day tasks such as validating daily trade uploads, setting up new accounts, monitoring and validating security masters, monitoring market data feeds, and providing daily reconciliation. As part of the agreement, Quantopian appointed SS&C as its fund administrator.
"Partnering with SS&C is a strategic step that meets our needs for an institutional grade platform with operational and reporting flexibility that fits our unique business model," said Dragan Skoko, Head of Trading at Quantopian. "We needed a software provider with a diverse global client base, expertise in quantitative investing, and the ability to administer a complex integration."
Quantopian is the only company to offer a fully integrated community-based platform that offers access to deep financial data, powerful research capabilities, university-level education tools, a backtester, and the opportunity to receive a capital allocation. Quantopian evaluates the performance of each algorithm on its platform and makes allocations to selected algorithms based on factors including return, risk, style, capacity, and interaction effects. The authors of the selected algorithms receive a share of the net profits generated from their investment strategies.
"Having worked with Quantopian's founders in prior business ventures, it has been impressive to see their growth and the level of interest they are receiving from the broader investment community," said Robert Roley, Managing Director and Co-General Manager, SS&C Advent. "SS&C has admired the firm since its launch several years ago, and our team is excited to partner with Quantopian through our innovative and trusted solutions."
A world leader in investment technology solutions and services, SS&C has grown into the industry's largest, independent, hedge fund, and private equity fund administrator, with more than $1 trillion in assets under administration. SS&C Geneva and Recon are well established, tried and tested software platforms that are relied upon by many leading players in the alternative asset industry.
Quantopian inspires talented people from around the world to write investment algorithms. They provide capital, data, education tools, and infrastructure to algorithm authors. Quantopian offers license agreements for algorithms that fit its investment strategy, and the licensing authors are paid based on their strategy's individual performance. Quantopian provides everything a quant needs to create a strategy and profit from it.
The company has received nearly $50 million in equity investments, including recently closing a Series C fund led by Andreessen Horowitz, and last year announced that it will manage up to $250 million from renowned investor Steve Cohen, beginning later this year
Quantopian's community nearly doubled in each of the last four years, now with more than 120,000 members, including finance professionals, scientists, developers, and students from 180 countries. The members collaborate online and in person at regional meetups, workshops, and Quantopian's flagship QuantCon events in New York and Singapore. Quantopian provides members a research and development platform, which includes US equity pricing and corporate fundamental data for free. Members may also access a fast-growing catalog of premium datasets. To date, more than 5.5 million simulations have been run on Quantopian's platform. In September 2015, Quantopian began allocating proprietary capital to selected algorithms submitted by members. In the second quarter of this year, Quantopian expects to begin allocating external capital toward these strategies via a pooled investment vehicle.
SS&C is a global provider of investment and financial software-enabled services and software for the global financial services industry. Founded in 1986, SS&C is headquartered in Windsor, Connecticut and has offices around the world. Some 11,000 financial services organizations, from the world's largest institutions to local firms, manage and account for their investments using SS&C's products and services.