Apex Group Ltd is a real company that provides a wide range of professional services globally. Founded in Bermuda in 2003, Apex Group has expanded to have a presence in over 100 countries worldwide. They are a major player within the financial services industry, providing fund administration, corporate secretarial, HR and payroll, accounting, tax, and legal services to clients. While not a household name, Apex Group operates behind the scenes to enable the success of other well-known financial entities. Their diverse expertise and geographic reach make them an important business services provider.
Company Overview
Here are some key facts about Apex Group Ltd:
- Founded in 2003 in Bermuda
- Employs over 4,500 people globally
- Has over 50 offices worldwide across Europe, Americas, Asia-Pacific, and the Middle East
- Manages over $1 trillion in assets
- Provides services to hedge funds, private equity firms, real estate firms, and other asset managers
- Offers fund administration, accounting, payroll, HR, legal, tax, and corporate secretarial services
As a professional services firm focused on the financial sector, Apex helps investment firms and corporations manage their business operations efficiently through outsourced expertise. Their capabilities allow clients to focus on their core activities while relying on Apex’s services for vital business functions.
History and Growth
Apex Group was founded in Bermuda in 2003 by Peter Hughes and James O’Shea initially as a fund administration provider. The firm steadily expanded its service offerings and geographic presence over the years:
- 2004 – Expanded operations to the Cayman Islands
- 2009 – Opened offices in Luxembourg and Switzerland
- 2012 – Entered the UK and Hong Kong markets
- 2015 – Established presence in USA, Singapore, and Malta
- 2017 – Expanded into China and Netherlands
Apex has largely grown over the years through strategic acquisitions of companies that complement its services. Some key acquisitions include:
- 2011 – Acquired Galileo Fund Services in Luxembourg
- 2014 – Acquired AUA Group and Scanes Bentley in UK
- 2017 – Acquired Deutsche Bank’s Alternative Fund Services business
- 2019 – Acquired Genstar Capital’s fund services units in USA and Ireland
Currently, Apex Group has over 50 offices globally across Europe, Americas, Middle East, and Asia Pacific. They expanded into Germany in 2020 with the acquisition of kommunalkredit Austria AG. In 2021, they entered the Australian market by acquiring Sargon. Through both organic growth and acquisitions, Apex continues to expand its geographic footprint and range of capabilities.
Services Offered
Apex Group provides a diverse mix of professional services and solutions to the financial sector globally. Their key service offerings include:
Fund Administration
As a leader in fund administration, Apex provides services like net asset value (NAV) calculations, capital calls and distributions, fund accounting, transfer agency, reporting, and investor services for alternative investment funds across private equity, real estate, hedge funds, credit funds, infrastructure funds and more.
Corporate Services
Their corporate services range from HR and payroll to accounting, tax, and corporate secretarial. This enables companies to outsource non-core functions for operational efficiency.
Fiduciary
Apex offers customized fiduciary services like stewardship services, security trustee services, and escrow agency services to financial institutions.
Business Process Outsourcing
They provide end-to-end business process outsourcing for clients across customer service, KYC/AML checks, technology solutions, and other processes.
Service | Description |
---|---|
Fund Administration | NAV calculations, fund accounting, reporting, investor services |
Corporate Services | Payroll, HR, accounting, tax, corporate secretarial |
Fiduciary | Escrow, security trustee, stewardship services |
Business Process Outsourcing | Customer service, KYC/AML, technology solutions |
This diverse mix of offerings makes Apex a one-stop provider of critical business services for their clients.
Clients and Industries Served
Apex Group caters to a range of clients across the financial services landscape:
- Private equity firms
- Hedge funds
- Real estate investment firms
- Investment banks
- Asset managers
- Fund administrators
- Insurance companies
- Commercial banks
Their expertise across alternative asset classes like private equity, real estate, infrastructure, and hedge funds has fueled their leadership in providing fund administration services. However, their service portfolio also appeals to traditional financial institutions like banks and insurers.
By revenue, Apex Group’s clients are primarily across asset management (45%), private equity (25%), hedge funds (15%), and the remaining 15% from other sources like banks, insurers, and non-financial companies. Their client base is global like their geographic footprint.
Ownership and Funding
Apex Group is currently majority-owned by private equity firm Genstar Capital after it acquired a majority stake in 2019. Other investors in the company include British Columbia Investment Management Corporation and Singapore’s GIC Private Limited.
Some of Apex’s notable funding rounds include:
- January 2019 – Genstar Capital acquired majority ownership of Apex Group at a $2 billion valuation. Apex founders retained a minority stake in the business.
- November 2019 – GIC and British Columbia Investment Management Corporation (BCI) acquired minority stakes in Apex Group valuing it at $2.3 billion post-money.
- March 2021 – Raised $1.5 billion in new equity funding from Genstar Capital, GIC, and BCI to pursue expansion plans.
As a privately held company, Apex Group is not listed publicly on any stock exchange. The involvement of large private equity and sovereign wealth funds highlights investor confidence in Apex’s continued growth trajectory within the financial services ecosystem.
Financial Performance
As a privately held company, Apex Group does not disclose detailed financial statements publicly. However, media releases on new funding rounds and acquisitions provide some insight into their growth and performance:
- The 2021 $1.5 billion funding round valued Apex at over $4 billion indicating strong investor confidence.
- Annual revenues were approximately $850 million in 2020, up 15% from 2019.
- Revenues doubled from $425 million in 2017 to over $850 million in 2020.
- Assets under administration grew from $500 billion in 2019 to over $1 trillion in 2021.
- Has maintained over 20% CAGR historically and is projected to continue double digit growth.
While specific net income or profitability metrics are unavailable, Apex Group’s consistent robust revenue growth and rise in assets under management indicate strengthening financial performance over the years.
Year | Revenue (USD millions) | Assets Under Administration (USD billions) |
---|---|---|
2017 | 425 | N/A |
2019 | N/A | 500 |
2020 | 850 | N/A |
2021 | N/A | Over 1,000 |
Competitive Positioning
Some of Apex Group’s major competitors in their service domains include:
- Alter Domus – Competes in fund administration, corporate services, and business process outsourcing
- Trident Trust – Overlaps in fund administration, fiduciary services, and business process outsourcing
- Intertrust – Competes in fund administration, corporate and fiduciary services
- IQ EQ – Competes in fund administration, corporate services, HR and payroll
- JTC Group – Competes in fund administration, corporate services, fund governance
While facing competition, Apex Group differentiates through:
- Global scale and geographic reach – Presence in over 100 countries worldwide
- Diverse service expertise – Wide array of fund administration, corporate, fiduciary and business process services
- Strong client base and relationships – Long-standing ties with major alternative asset managers and financial institutions
- Technology and innovation – Ongoing technology investments in automation, blockchain, AI etc.
Their end-to-end service capabilities combined with global delivery network makes Apex Group a formidable player in their target markets.
Future Outlook
Apex Group seems well-positioned for continued growth and expansion in the coming years. Some factors contributing to their positive future outlook include:
- The alternative assets industry projected to grow at over 10% CAGR globally
- Rising adoption of outsourced services by financial firms
- Apex’s leadership in fund administration attracting new client wins
- Expanding into new high-potential markets like USA, Germany, China etc.
- Ongoing technology modernization to boost efficiency and competitiveness
- Strong financial backing from investors to support growth plans
Through both organic and inorganic strategies, Apex seems poised to continue growing its client base, capabilities, geographic presence, assets under administration and revenues. Key trends benefiting Apex’s growth trajectory include booming alternative asset classes, rise of outsourcing, tech disruption and consolidating fund administration markets across Europe and Americas. While competitors also aim for growth, Apex Group’s scale, client relationships and operational expertise give it an edge. Assuming global economic stability and financial market growth, Apex seems well-positioned for the long run.
Conclusion
In summary, Apex Group is a leading global provider of services supporting the financial sector, focused especially on alternative asset managers, private equity firms and other investment institutions. Founded in Bermuda in 2003, the company has expanded rapidly over the past two decades to build a presence in over 100 countries worldwide. Backed by major investors like Genstar Capital, BCIMC and GIC, Apex Group continues to grow revenues, assets under administration and capabilities both organically and through acquisitions. With expertise across fund administration, corporate services, fiduciary offerings and business process outsourcing, Apex has become a trusted partner enabling the operational success of financial firms and investment managers globally. While not a household name brand, the company’s geographic scale, service breadth, customer base and growth momentum underscore its position as a major player in its industry with a bright future outlook.