Pearl Group has merged Ignis Asset Management and Axial Investment Management, with both groups now trading under the Ignis brand.
The merger will give Ignis access to the derivative capabilities employed at Axial and will allow the group to fully utilise Ucits III powers within its retail range of funds.
It will also give Ignis access to the allocation tools and techniques developed by Axial's institutional managers, while the Axial managers will be able to offer their services to the wider retail market.
Axial was launched by Pearl in 2006 after it identified an in-house need for improved analytical investment capabilities, broader access to alternative assets, enhanced risk management skills and diagnostic tools.
The group decided to develop Axial and invested about £10m in building the firm, which now manages over £22bn in assets for Pearl including £1.6bn within the Axial fund of hedge funds.
Axial's approach is based upon bottom-up risk analysis combined with bespoke systems, technology, dealing and investments expertise.
Ignis says with institutional clients increasingly seeking more sophisticated and bespoke investment solutions, and Axial delivering this for Pearl, it would be a natural progression to offer this proposition to the wider market.
It also says it will consider broadening its range in the future to offer outcome-orientated products to the retail market.
