Aquila has partnered with Swiss research firm Octavian to support stock selection for private and institutional clients, including for its Corby Swiss Equity fund, Citywire Switzerland has learned.
Nicolas Peter, head of asset management at Aquila, told Citywire Switzerland that the partnership will provide research for small- and mid-cap investments.
He said: ‘The problem is that in today’s world fewer banks are covering the small- and mid-cap segment. With Octavian, we have someone who primarily focuses on the small- and mid-cap sector.’
Peter said this sector is key for Aquila, promising significant growth while big-name Swiss equities are struggling.
‘In terms of growth, we like the segment – but one needs to be selective. We have very innovative, focused and even niche companies with excellent products and services that can’t be replaced that easily, as well as pricing power.
‘The growth in some of the large-cap names seems to be limited – for example, Norvartis and Roche are struggling with patents running out, and Nestle is growing but not massively. Small- to mid-cap is where we see stronger growth in the future.’
Octavian will be one of the main research providers for Swiss equities at Aquila, according to Peter, who said the firm has a ‘great track record and tremendous experience’.
Octavian was launched in May 2017 by eight Bellevue employees, including ex-CEO Serge Monnerat.
On the new partnership, co-founder and ex-Bellevue trading head Martin Schuler said: ‘We are pleased with the gain of Aquila Asset Management as a new client for our idea-driven Swiss Equity research product.’