MEET THE TEAM - Adepa

SFF Magazine June 2024

Topics: Asset Management, Fund distribution, LATAM

An Interview with:
Francisco Garcia Figueroa, Country Head Luxembourg, Member of the Executive Committee
Alex Bardaji, Country Head Spain
Sergio Romero, Business Development Senior Manager

Adepa today is a recognized fund and asset services provider in the global asset and wealth management industry.

Francisco, could you provide an overview of Adepa’s history and evolution? Specifically, how did the company start, what were some key milestones in its development, and what services does Adepa offer today?

Francisco: Adepa was founded in 1980 in Spain and has been headquartered in Luxembourg since 2006. It has grown into a global strategic partner for asset and wealth managers, providing a comprehensive suite of services needed to establish, operate, distribute, administer, and comply with regulatory requirements for any type of fund structure across various jurisdictions.

Our investment fund management company, Adepa Asset Management S.A., holds UCITS and AIFM licenses, covering a wide range of asset classes including listed equities, fixed income, real estate, private equity, derivatives, infrastructure, and private debt funds. From Luxembourg, the company can service fund promoters across the EU. We also have branches in Spain and Italy, and subsidiaries in Spain, Italy, and Chile, through which we provide fund administration and investor services to asset and wealth management companies.

You are leading the Luxembourg office of Adepa. Can you tell us more about the role of Luxembourg within Adepa’s organization and your business there?

Francisco: Luxembourg is a global leader in investment fund domiciliation and distribution, making it an essential hub for our clients, including fund and asset managers, banks, family offices, insurance companies, and pension funds. This is why we chose Luxembourg as the headquarters for the Adepa Group nearly 20 years ago, as part of our internationalization strategy.

The investment fund management company of the Group is based here, providing Management Company and AIFM services for both traditional and alternative investment strategies, along with Fund Administration, Investor Services, and Corporate Services. Our team in Luxembourg comprises over 40 professionals from various nationalities, adding diversity and specialization to our workplace.

Luxembourg’s strategic position is key to our international development, enabling us to support clients across multiple countries with diverse regulatory landscapes. Our “Dual Strategy” focuses on entering jurisdictions with well-established fund industries, where we can offer comprehensive services tailored to local needs, while also providing sophisticated Luxembourg structures and solutions for cross-border initiatives. This approach allows us to seamlessly bridge markets and deliver exceptional value to our clients. Our deep-rooted presence in Southern Europe, particularly in Spain and Italy, as well as in Latin America, underscores our commitment to these regions and our ability to meet their unique financial needs.

"Our investment fund management company, Adepa Asset Management S.A., holds UCITS and AIFM licenses, covering a wide range of asset classes including listed equities, fixed income, real estate, private equity, derivatives, infrastructure, and private debt funds. From Luxembourg, the company can service fund promoters across the EU. We also have branches in Spain and Italy, and subsidiaries in Spain, Italy, and Chile, through which we provide fund administration and investor services to asset and wealth management companies."
Francisco García FigueroaCountry Head Luxembourg, Member of the Executive Committee

Alex, you came to work in Luxembourg a long time ago. Have you noticed any differences in how Spanish Asset Managers engage with Adepa and Luxembourg now compared to that time?

Alex: Absolutely. When I arrived in 2009, our role with Spanish clients was primarily educational, transferring our knowledge and promoting the advantages of Luxembourg’s regulatory framework for investment vehicles. Nowadays, Spanish Asset Managers are much more knowledgeable about the regulations here, and our discussions are more technical.

Initially, some asset managers were keen to establish their own operations in Luxembourg. However, they soon realized that the regulatory demands made outsourcing non-core activities essential for focusing on their primary business and increasing efficiency.

Today, many Spanish Asset Managers have experience running funds in Luxembourg and working with external providers. These experienced managers particularly value Adepa’s entrepreneurial and Adepa’s entrepreneurial spirit, strong expertise, and high service quality, even more than our shared Spanish cultural background.

Today you are back in Spain, representing Adepa as Country Head. How is the relationship between Spain and Luxembourg evolving in the financial markets, and how does Adepa relate to it?

Alex: Adepa increasingly serves the same clients in both jurisdictions. We differentiate ourselves by supporting our clients across various jurisdictions, acting as a trusted business partner, and offering a sophisticated package of solutions alongside our core services. Our mission is to support clients comprehensively, allowing them to focus on their intellectual work and investment decisions while we handle the rest.

We maintain operational connections between countries, with client account managers and operational teams in Spain supporting clients both locally and in Luxembourg. This approach generates synergies while preserving a local focus, providing a robust service model with characterized by entrepreneurial spirit, flexibility, and a personal touch.

Sergio, LATAM is a key market for Adepa’s “Dual Strategy.” Can you describe your approach to this market and the main challenges LATAM investment managers face when looking to Luxembourg for European investment vehicles?

Sergio: LATAM has been crucial in our global expansion strategy. We established a presence in Santiago de Chile over six years ago and expanded further by acquiring a significant local fund administrator. This allowed us to service local funds not only in Chile but in other LATAM countries.

Naturally, in line with our mission, we are also supporting clients as they expand their businesses in Luxembourg. We identified that LATAM clients, similar to our Spanish clients, face significant challenges when setting up investment funds in a foreign jurisdiction like Luxembourg.

Choosing the right investment vehicle in a jurisdiction with numerous alternatives requires deep understanding of various factors, such as investor preferences, investment policies, and marketing strategies. Our shared language, culture, and client-centric approach help us guide our Spanish and LATAM partners through this complex process.

You arrived in Luxembourg over six years ago. Can you describe your experience and the changes you’ve seen regarding the Spanish-speaking community and business activity in Luxembourg?

Sergio: If anything I can say is ‘’time flies’’, and I think I speak for many other Spanish expatriates after a few years in such a diverse and international atmosphere. I joined Adepa in Luxembourg in early 2018, coming from a different financial environment in Madrid. Adepa’s project in Luxembourg, with its international outlook and yet strong orientation towards our home country, was a perfect fit for me.

Over the years, the Spanish community’s presence in Luxembourg has steadily grown. Even padle sport is becoming trendy in the country ! The efforts by institutions like the Spanish Chamber of Commerce and ALFI to increase awareness have been remarkable, with events organized not only in Luxembourg but also in Spain and LATAM. Supporting these events and drawing upon our decades of expertise across the three jurisdictions, Adepa has become a reference in the investment fund servicing industry. Consequently, we see our Spanish and LATAM community expanding.

Adepa is deeply committed to bridging global financial markets by providing comprehensive and specialized services, and fostering strong international relationships. Spanish and LATAM clients hold particular significance for Adepa, reflecting their historical presence and shared cultural background. The Adepa team is dedicated to globally supporting fund managers in their business endeavors, ensuring they can concentrate on their core activity.

Our leitmotif is “You carry out the intellectual work and make the investment decision; we take care of the rest”.