Key Takeaways
- • RISE Financial Services, a subsidiary of Siebert Financial Corp. (NASDAQ: SIEB), acquired a 20% equity stake in Hedge Connection Inc. and obtained the right to purchase the remaining 80%.
- • Hedge Connection's patented Fintroz SaaS platform enables hedge fund managers to connect with institutional investors while controlling how their information is shared.
- • Lisa Vioni, co-founder and CEO of Hedge Connection, was appointed President of RISE Prime, Head of Capital Introductions, and joined the RISE Financial Services board.
- • RISE Prime plans to offer capital introduction programs to all clients, including emerging managers, through virtual one-on-one investor events powered by Fintroz.
Summary
RISE Financial Services, LLC, a subsidiary of Siebert Financial Corp. (NASDAQ: SIEB), announced it has completed the acquisition of a 20% equity stake in Hedge Connection Inc., a woman-owned FinTech company offering a patented enterprise capital introduction software-as-a-service solution through its Fintroz product. As part of the transaction, RISE Financial acquired the right to purchase up to the remaining 80% of Hedge Connection, according to the Business Wire announcement.
The Fintroz platform allows hedge fund managers to connect with a global pool of institutional investors while retaining control over how their information is shared, and helps allocators streamline due diligence. RISE Financial and its division, RISE Prime, intend to use the technology to scale a comprehensive capital introduction program for clients. RISE Prime describes itself as a prime brokerage provider aligned with the mission-driven environmental, social and governance (ESG) initiatives of institutional investors.
Lisa Vioni will remain CEO of Hedge Connection and has been appointed President of RISE Prime, Head of Capital Introductions, and a member of the RISE Financial board. She will lead the capital introduction effort, which will offer all clients, including emerging managers, virtual one-on-one events between investors and managers. Vioni previously worked on the sell side at Lehman Brothers and on the buy side at Ellington Management Group and Cerberus Capital Management before founding Hedge Connection, which was launched in 2005 and holds two patents. Hedge Connection has hosted live events since 2014 and, according to the company, has facilitated thousands of introductions between hedge fund managers and institutional investors.
Cynthia DiBartolo, CEO of RISE Financial, said the investment advances Siebert's diversity history and positions RISE Prime to lead in digitalizing hedge fund capital introduction. Gloria E. Gebbia, controlling shareholder and board member of Siebert, said the partnership aligns with mutual commitments to diversity and inclusion. Hedge Connection's Fintroz platform was launched in 2020 as an enterprise SaaS product that institutions can license to offer capital introduction to clients.
The Fintroz platform allows hedge fund managers to connect with a global pool of institutional investors while retaining control over how their information is shared, and helps allocators streamline due diligence. RISE Financial and its division, RISE Prime, intend to use the technology to scale a comprehensive capital introduction program for clients. RISE Prime describes itself as a prime brokerage provider aligned with the mission-driven environmental, social and governance (ESG) initiatives of institutional investors.
Lisa Vioni will remain CEO of Hedge Connection and has been appointed President of RISE Prime, Head of Capital Introductions, and a member of the RISE Financial board. She will lead the capital introduction effort, which will offer all clients, including emerging managers, virtual one-on-one events between investors and managers. Vioni previously worked on the sell side at Lehman Brothers and on the buy side at Ellington Management Group and Cerberus Capital Management before founding Hedge Connection, which was launched in 2005 and holds two patents. Hedge Connection has hosted live events since 2014 and, according to the company, has facilitated thousands of introductions between hedge fund managers and institutional investors.
Cynthia DiBartolo, CEO of RISE Financial, said the investment advances Siebert's diversity history and positions RISE Prime to lead in digitalizing hedge fund capital introduction. Gloria E. Gebbia, controlling shareholder and board member of Siebert, said the partnership aligns with mutual commitments to diversity and inclusion. Hedge Connection's Fintroz platform was launched in 2020 as an enterprise SaaS product that institutions can license to offer capital introduction to clients.
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