Swiss derivatives provider Leonteq is expanding its network of cooperation partners. The latest addition to the network is based in Luxembourg and a major player in the financial market of the grand duchy – and it is owned by a Chinese investment group.
Leonteq has signed a partnership agreement with Banque Internationale à Luxembourg (BIL) for the manufacturing and distribution of structured investment products, according to a statement released on Thursday.
BIL will join Leonteq’s technology platform for white-labeled issuers and leverage Leonteq’s expertise to create and distribute structured products, the Swiss firm said. Leonteq will provide the bank with a broad range of services including distribution, product structuring and issuance.
Chinese Ownership
BIL will distribute the structured investment products to its own clientele, while Leonteq has taken an international distribution mandate. The first BIL structured investment products will be available on Leonteq’s platform in the second half of 2020.
BIL was founded in 1856 and is the older universal bank of Luxembourg. It has assets under management of about 50 billion Swiss francs. China’s Legend Holding took control of BIL in September 2017.
A Flurry of Activities
Legend Holding is an investment holding with stakes in finance, agriculture and IT. The best known of its investments is Lenovo, China’s biggest producer of personal computers. BIL used to be owned by the Qatari rulers under the guidance of Precision Holding.
Leonteq in recent months has announced several new partnerships, the most prominent of which is a tie-up with the world’s largest asset manager, Blackrock. The Swiss firm also reached an agreement with Rand Merchant Bank of South Africa in April.
