Ilmarinen: executing alpha with Misys FusionInvest
16 January 2013
Ilmarinen Mutual Pension Insurance Company is a leader in the pensions market with €27bn in AuM, 600 staff and 870,000 end clients.
In 2003 Ilmarinen considered strategies that would enable growth and decided to enter the alternatives market in light of poor returns from their equity and fixed income funds. They decided to develop an alpha fund internally to avoid the high management and performance fees, as well as the lack of transparency, from external managers. When their existing technology was not able to handle the range of new products they wished to trade, they came to Misys for a solution.
Ilmarinen needed a scalable system that could be integrated into their existing architecture with the ability to value, price and add new instruments with the appropriate levels of transparency that they needed in the new strategy. Following the implementation of Misys FusionInvest to support the alpha fund, Ilmarinen saw many benefits in operational efficiency, reporting & compliance and most importantly, risk management. As a result, Ilmarinen decided to extend the system across the front- and middle-office of all their other funds to realise these benefits in all areas of the firm.