A BC-born financial technology firm has been acquired by New York’s Numerix, a leader in tech-forward capital markets risk management.
Founded in Surrey in 1990 by quantitative finance academics Bob Park and Peter Christoffersen, Fincad is an analytics company dealing in the pricing and risk analytics of financial derivatives and fixed-income products.
The company says its team consists of “the industry’s best and brightest quantitative financial analysts, software developers and supporting teams,” and offers “unmatched expertise in derivatives finance.”
As independent providers of cutting-edge solutions for the financial sector, Numerix and Fincad each have made their mark across the capital markets ecosystem, serving a wide array of customers ranging from sell-side and buy-side firms to corporations and insurance markets worldwide.
Together they create a formidable force in the realm of capital markets analytics.
“This combination is a game-changer for the industry,” remarked Steven R. O’Hanlon, of Numerix, “allowing Numerix clients to use the most robust front-to-risk decision-making software with their choice of best-of-breed analytics.”
For thousands of financial institutions around the globe, the combination of Numerix and Fincad means a new era of trading and risk management decisions powered by state-of-the-art analytics and SaaS platforms.
“Bringing together Numerix and Fincad is a significant moment for all capital markets participants,” O’Hanlon added. “It has become clear to me through the process that Fincad shares a similar DNA to Numerix. This is a natural fit and I am very excited about the opportunities that lie ahead.”
“The combination with FINCAD will expand Numerix’s capabilities in the complex regulatory environment and provide greater value to its clients,” noted Scott Niehaus, Director at Genstar Capital, an investor in Numerix. “We are committed to working with the Numerix team to identify additional opportunities to further build out the company.”
Fincad was previously owned by Toronto’s Zafin, a SaaS company operating in the finance space.
The Zafin platform, which acquired Fincad in 2022, “Separates product and pricing from core processing to accelerate progressive modernization, enabling digital transformation and deliver personalization at the relationship level.”
“Zafin has over the past year worked closely with the Fincad team to ensure they are set up for growth with successful executions of revamped product and customer success strategies and Numerix now provides FINCAD an excellent avenue to realize their full potential,” stated Al Karim Somji, CEO of Zafin.
Fincad secured a US$12 million growth financing round from Vancouver’s Vistara Growth in 2019.
Terms of the most recent transaction were not disclosed.