Talos, the premier provider of institutional digital assets trading technology, has acquired D3X Systems, a developer of institutional technology to support systematic investment strategies. The D3X platform enables investors to apply advanced portfolio engineering techniques, tried and tested in traditional capital markets, to digital assets. Talos’s institutional clients will be able to design, validate, implement, and manage highly customized portfolios.
“We are thrilled to welcome D3X Systems to the Talos team,”said Anton Katz, Co-Founder and CEO of Talos. “Our mission is to empower institutions to access the digital asset markets across their investment lifecycle, and our acquisition of D3X means additional and powerful pre-trade and post-trade tools for our clients to design portfolios and manage risk.”
The portfolio engineering SaaS platform provides a wide range of applications for systematic portfolio design and implementation, including back-testing, factor modeling, optimization, and rebalancing, as well as risk and return attribution reporting. Systematic investors can design and manage customized active or passive investment strategies with unique risk and return characteristics, using institutional-grade techniques pioneered in traditional finance over recent decades. The integration with Talos’s trading platform creates a powerful solution for asset managers such as ETF issuers, RIA (registered investment advisors), and SMA (separately managed account)providers to support their entire investment lifecycle for digital assets.
The platform is designed as an open architecture, offering a comprehensive set of APIs to allow clients and partners to extend the core capabilities of the platform to address the needs of each client’s bespoke investment process.
“We are honored to join the world-class team at Talos,” said Xavier Witdouck, Founder and CEO of D3X Systems. “With our 50+ years of experience in the investment management industry, we share a vision to empower institutional investors through technology, as we look to develop the next generation of data-driven systematic investment strategies.”
Under the terms of the deal, the D3X Systems team will bring their extensive expertise from the investment management industry, while existing D3X Systems clients will have integrated access to Talos’s award-winning digital assets trading platform and 24-7 white glove service.