Tailor-made solutions for fund projects

Amid increasing complexity in the fund industry, BIL Asset Services (BAS) provides clients with a comprehensive asset services solution, state Alain Bastin and Oliver Benner.

Launched to coincide with the adoption of the Alternative Investment Funds Managers Directive, BIL Manage Invest (BMI) has been proposing tailormade solutions for fund projects since 2013. It continues to benefit from a global offering within BIL Asset Services and has seen a strong increase in demand in recent years for value-added services.

Alain Bastin, CEO of BIL Manage Invest, and Oliver Benner, Head of Strategic Development BIL Asset

Services, talk about their successful business model.

BMI was launched 10 years ago, which was when the AIFMD came into effect. How has it grown and evolved since then?

ALAIN BASTIN We launched the company from scratch and since then we have seen our assets under management (AuM) grow significantly.

Our business model is quite unique in its market segment. BMI is a management company that operates as a third-party provider, backed by the strength of a major banking group. This model, combined with our strong portfolio management capabilities, offers many opportunities for synergies across the group, especially in the case of entrepreneurial projects.

OLIVER BENNER We are highly satisfied with the development and the tremendous success of BMI. Our ambition is to continue growing the business and expanding it with a selected range of clients. We want to keep our tailored boutique approach which ensures a high level of flexibility for our client’s needs.

What kinds of clients are you looking for?

ALAIN BASTIN We are aiming for quality over quantity. Today, we have around 30 clients, mainly from Europe. The next phase will involve development in Asia, which is, of course, a strategic region for us, with Legend Holdings as BIL Group’s main shareholder.

OLIVER BENNER We offer our services to asset managers, pension funds, insurance companies, family offices and UHNWIs. By having a boutique approach, we focus on clients looking for tailor-made solutions and long-term partnerships. We experience an increasing demand for our services as the market concentration continues.

And what differentiates BIL Asset Services from your competitors?

OLIVER BENNER The core of BIL Asset Services is our AIFM and depositary services. Central administration services are offered by selected preferred partners. As a universal bank, BIL links these core fund services with additional services and products such as bridge financing, global custody, treasury management or wealth management solutions. This combination of services is a unique strength and competitive edge of BIL Group which creates true added value for our clients.

ALAIN BASTIN For me, there are two key factors that differentiate BMI. Firstly, the ManCo market today is being driven more and more by private equity players who are looking to make big volumes and sell in three years with a high profitability. We don’t have the same goal; we have a long-term vision. Secondly, if you look at ManCos within banks, most of them delegate portfolio management externally. We have strong portfolio management capabilities, that’s why we’re able to target entrepreneurs and specific projects that are outside the sweet spot of other banks.

How important is the name and reputation of Banque Internationale à Luxembourg?

ALAIN BASTIN For me, the name and the stability are key. The most important thing is the branding. And we can see how it is important during discussions with prospects.

OLIVER BENNER Founded in 1856, BIL is the oldest multibusiness bank in the Grand Duchy. The brand is known throughout the country for retail, private, corporate and institutional banking. Our goal is for BIL Asset Services to be equally associated with BIL Group in the near future.

Creating Value For Our Clients

BIL Asset Services offers its clients looking for robust governance by creating a fund a comprehensive and fully-fledged solution.

We have a vast knowledge of traditional and alternative investments, such as PE, RE, private debt and fund of funds. BIL offers an attractive range of additional products and services: bridge financing, treasury management & global custody, banking services to GPs and SPVs, execution and brokerage.

As one of the leading thirdparty AIFMs in Luxembourg, BIL Manage Invest seamlessly integrates into the clients’ investment management process and operating model.