Investment Officer

Thursday’s 50 basis point rate hike by the European Central Bank came as no surprise. The ECB’s deposit rate now stands at 2.5 percent. The ECB reiterated that it intends to deliver a similar rate hike at its next meeting in March.

The ECB’s hike came one day after a 25 point increase announced by the Federal Reserve, and coincided with a 50 point raise by the Bank of England.

Swiss private bank Union Bancaire Privée, or UBP, has developed a partnership with New York-based Brigade Capital Management to expand its offering of credit-focused investment products. A new fund, U Access (IRL) Brigade Credit Long Short Ucits, launched in September and has close to 100 millions dollars under management.

New York Life, America’s largest mutual life insurer, has named Naïm Abou-Jaoudé as chief executive officer of New York Life Investment Management.  Vincent Hamelink (photo), Candriam chief investment officer, will succeed Abou-Jaoudé as CEO of Candriam.

The collective value of Luxembourg investment funds has plunged more than 800 billion euro from record levels reached a year ago as inflation, rising interest rates and the war in Ukraine took their toll on assets domiciled in the grand duchy.

Eurozone interest rates will rise further in the near future as evidence grows that inflation has become entrenched, leaving the European Central Bank no option but to continue to hike its policy rates. At Ethenea, ECB watchers believe official deposit rates could more than double from current levels.

European Depositary Bank, a Luxembourg-based provider of banking, depositary and custody solutions that is part of the Apex Group, on Monday said it has been appointed by Arab Bank to support its real-estate ambitions in the European, Middle East and Africa  region (Emea) with digital banking services.

EDB said it has been selected to provide services for 32 bank accounts for 14 special purpose vehicles as part of Arab Bank’s 400 million euro pan-European real estate strategy.

Los Angeles-based Capital Group, a major global investment manager also present in Luxembourg, on Thursday said that Mike Gitlin from October will assume the management responsibilities of Tim Armour, chairman and chief executive officer. Armour and vice chairman president Rob Lovelace Armour and Lovelace will both step down from Capital Group’s management committee in October of this year.

Luxembourg’s financial supervisor CSSF on Thursday published an update to its  Reporting Handbook for investment firms. The update integrates the latest version of the reporting framework designed in recent years by the European Banking Authority and introduces a module for threshold monitoring.

Luxembourg’s financial supervisor CSSF has levied a 22,100 euro fine against alternative investment fund manager Pemberton Asset Management SA after a 2020 inspection found  “failures” in risk management, organisational requirements and supervising delegated activities under Luxembourg’s AIFM law, the regulator announced on Tuesday.

Senior private banker Alexandre Schmitz has left Degroof Petercam Luxembourg to join the Luxembourg operation of Lazard Frères Gestion, a French asset management firm which has offered wealth management services in Luxembourg since 2021.

Schmitz will join Lazare’s Luxembourg team as “director – senior private banker”.

“Alexandre’s arrival marks our desire to strengthen our presence in the local market,” said Julien Thibault-Liger, managing director of the firm in Luxembourg.