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𝘏𝘶𝘮𝘢𝘯 𝘦𝘳𝘳𝘰𝘳—𝘢 𝘴𝘪𝘮𝘱𝘭𝘦 𝘦𝘹𝘤𝘶𝘴𝘦 𝘰𝘳 𝘢 𝘳𝘦𝘥 𝘧𝘭𝘢𝘨?🚩 Lloyds Banking Group recently surfaced in the media due to a considerable data breach: one client mistakenly received highly confidential investment details—hundreds of pages of information about other clients’ investments togehther with their names and addresses. The bank's explanation? Human error. From an Operational Due Diligence (ODD) perspective, this isn’t just a one-off mistake—it’s a reminder of the risks hiding in plain sight. 🔹 Human error is predictable—and preventable. Firms must assume mistakes will happen and design fail-safes, not just apologies. 🔹 Weak internal controls amplify risk. Manual processes need layered safeguards—dual approvals, automated checks, and clear escalation paths. 🔹 Speed matters. Lloyds responded quickly, but trust takes longer to rebuild. Firms must prove they have a robust incident response plan. 🔹 Regulators are watching. Data breaches invite scrutiny, fines, and reputational damage. Compliance is no longer a checkbox—it’s an expectation. At Lestrade, we focus on friction-free, independent ODD that helps asset allocators 𝘀𝗽𝗼𝘁 𝘄𝗲𝗮𝗸 𝗰𝗼𝗻𝘁𝗿𝗼𝗹𝘀 𝗯𝗲𝗳𝗼𝗿𝗲 𝘁𝗵𝗲𝘆 𝗳𝗮𝗶𝗹. Because in due diligence, prevention is always better than reaction. What’s your take—how can firms better safeguard investor data? 👇

Strong returns look great—𝘶𝘯𝘵𝘪𝘭 𝘵𝘩𝘦𝘺 𝘥𝘰𝘯’𝘵. A solid track record can be reassuring, but real investment resilience goes beyond performance! 𝘞𝘩𝘺? Because by the time weak operations, bad leadership, or a toxic culture start showing up in performance, it’s already too late. Here’s how to look beyond the numbers and protect your investments: 📌 Culture Can Outweigh Strategy A brilliant strategy doesn’t survive in a broken environment. If a team can’t communicate, adapt, or operate ethically, the best investment plans won’t matter. Watch how they work together! 📌 Leadership That Holds Who’s actually steering the ship? Strong leadership isn’t about big titles and top-down echo chambers—it’s about fostering transparency, accountability, and resilience. 📌 Trust Your Gut Gut feelings can reveal a lot. Watch for hesitation, vague answers, or discomfort—these may be signs of bigger issues hiding under the surface. 📌 Communication That Flows Freely Are key details openly shared, or do you have to extract them? Proactive transparency is a sign of confidence, not just compliance. 📌 Ethics in Action Anyone can talk about values. The question is, what do they do when faced with tough decisions? A firm’s real integrity is seen in how they act—not just what’s in their policies. ODD isn’t about ticking boxes—it’s about understanding 𝘄𝗵𝗼’𝘀 𝗿𝗲𝗮𝗹𝗹𝘆 𝗯𝗲𝗵𝗶𝗻𝗱 𝘁𝗵𝗲 𝗻𝘂𝗺𝗯𝗲𝗿𝘀. Because the strongest investments don’t just perform well in good times—they’re built to last. What else have you noticed? #OperationalDueDiligence #InvestmentRisk #FundGovernance #LestradeInsights #InstitutionalInvesting

🥁 𝗟𝘂𝘅𝗲𝗺𝗯𝗼𝘂𝗿𝗴 𝘃𝘀. 𝗜𝗿𝗲𝗹𝗮𝗻𝗱: 𝗧𝗵𝗲 𝗙𝘂𝗻𝗱 𝗗𝗼𝗺𝗶𝗰𝗶𝗹𝗲 𝗕𝗮𝘁𝘁𝗹𝗲 𝗝𝘂𝘀𝘁 𝗚𝗼𝘁 𝙈𝙤𝙧𝙚 𝗜𝗻𝘁𝗲𝗿𝗲𝘀𝘁𝗶𝗻𝗴 Luxembourg has long been Europe’s mutual fund powerhouse, but in the ETF market? Ireland is miles ahead, sitting on $1.6 trillion in ETF assets while Luxembourg lags at $266 billion. ♟️Now, Luxembourg is making it's move. What’s happening? • Subscription tax? 𝘎𝘰𝘯𝘦. Luxembourg scrapped it for active ETFs to attract more fund launches. • Semi-transparent ETFs? CSSF 𝘈𝘱𝘱𝘳𝘰𝘷𝘦𝘥. Less daily disclosure to protect managers’ strategies—but does this add complexity for investors? • Meanwhile, Ireland stays ahead, with its deep fund servicing ecosystem, US tax perks, and first-mover advantage in ETFs. ETF flows and tax incentives get headlines, but fund domicile decisions are also about operational strength. ▶️ Luxembourg’s governance standards have long been a selling point—will this flexibility change that? ▶️ Ireland’s scale is impressive—but is bigger always better when it comes to oversight? Domicile choices aren’t just about costs and distribution. The real edge is in operational resilience. Where do you see this competition going? Let’s discuss. #FundDomicile #OperationalDueDiligence #Luxembourg #Ireland #InvestmentTrends #RiskManagement

𝗧𝗵𝗲 𝗘𝗦𝗚 𝗵𝘆𝗽𝗲 𝗰𝘆𝗰𝗹𝗲 𝗺𝗮𝘆 𝗯𝗲 𝗳𝗮𝗱𝗶𝗻𝗴... For years, Environmental, Social & Governance (ESG) was positioned as 𝘵𝘩𝘦 future of investing. Now, we’re seeing a shift. ESG fund outflows are increasing, even in Europe, where sustainability has long been a priority. Managers who once had to justify not considering ESG are now quietly removing their sustainability labels altogether. Investment giants are dropping net-zero commitments and scaling down sustainability goals. Why? • Underperformance in clean energy, while high-emission industries delivered strong returns. • Sustainability, diversity, and welfare have become highly politicized. • Firms are caught in compliance-heavy ESG reporting. But here’s a question: 𝗛𝗮𝘀 𝘁𝗵𝗲 𝗻𝗲𝗲𝗱 𝗳𝗼𝗿 𝗘𝗦𝗚-𝗿𝗲𝗹𝗮𝘁𝗲𝗱 𝗿𝗶𝘀𝗸 𝗺𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁 𝗱𝗶𝘀𝗮𝗽𝗽𝗲𝗮𝗿𝗲𝗱—𝗼𝗿 𝗷𝘂𝘀𝘁 𝘁𝗵𝗲 𝗮𝗽𝗽𝗲𝘁𝗶𝘁𝗲 𝗳𝗼𝗿 𝗱𝗶𝘀𝗰𝘂𝘀𝘀𝗶𝗻𝗴 𝗶𝘁? Can we suddenly afford to ignore the risks we call(ed) urgent? At its core, ESG has always been about thoughtful investing—generating something good while mitigating real financial risks: climate disruptions, stranded assets, supply chain vulnerabilities, governance failures. Whether or not ESG remains a trendy marketing label, these considerations remain real. 𝗧𝗵𝗲 𝗘𝗦𝗚 𝗵𝘆𝗽𝗲 𝗰𝘆𝗰𝗹𝗲 𝗺𝗮𝘆 𝗯𝗲 𝗳𝗮𝗱𝗶𝗻𝗴, 𝗯𝘂𝘁 𝗱𝘂𝗲 𝗱𝗶𝗹𝗶𝗴𝗲𝗻𝗰𝗲 𝗱𝗼𝗲𝘀𝗻’𝘁 𝗰𝗮𝗿𝗲 𝗮𝗯𝗼𝘂𝘁 𝘁𝗿𝗲𝗻𝗱𝘀. Investors need to pay attention to who’s actually building long-term resilience—and who’s just riding the waves. If you're seeing something different in the market—or have insights on how investors are adapting to this shift—I’d love to hear your perspective. 📷 Copyright: Sergio Bellotto

🏐 𝗦𝘂𝗽𝗽𝗼𝗿𝘁𝗶𝗻𝗴 𝗙𝘂𝘁𝘂𝗿𝗲 𝗖𝗵𝗮𝗺𝗽𝗶𝗼𝗻𝘀! 🏐 At Lestrade, we believe that sports and physical activity are essential for a healthy and happy life. That’s why we provide all our employees with a sports allowance on top of their salary—because staying active is key to both personal and professional success! But our commitment to sports goes beyond the workplace. We’re proud sponsors of the VoCASA Volleybalvereniging U14 girls’ team, helping young athletes develop teamwork, discipline, and a passion for the game. #Volleyball #Sports #sponsorship Vladimir Dmitrovic

𝗔𝗹𝗴𝗼𝗿𝗶𝘁𝗵𝗺 𝘃𝘀. 𝗔𝗻𝗮𝗹𝘆𝘀𝘁: 𝗪𝗵𝗼 𝗪𝗶𝗻𝘀 𝗶𝗻 𝗧𝗿𝗮𝗱𝗶𝗻𝗴? AI is transforming trading—spotting patterns, flagging anomalies, and executing trades in milliseconds. But when it comes to 𝘮𝘢𝘳𝘬𝘦𝘵 𝘮𝘢𝘯𝘪𝘱𝘶𝘭𝘢𝘵𝘪𝘰𝘯, the story gets tricky. ✅ What AI Does Well: Detects known manipulation tactics like spoofing and layering. Flags outliers in volume, price, or order book activity. Operates in real time across markets. ❌ Where AI Struggles: Adapting to new manipulation tactics—bad actors evolve. Understanding context—was it manipulation, or just breaking news? False positives—flagging legitimate activity as suspicious. 𝘌𝘯𝘵𝘦𝘳 𝘵𝘩𝘦 𝘈𝘯𝘢𝘭𝘺𝘴𝘵: Humans bring intuition and experience, connecting dots AI can’t—like intent and cross-market interactions. The truth? It’s AI + Analyst for the win. The best trading setups combine speed and scale with human expertise. What do you think? Can AI ever fully replace human judgment in trading? Let’s discuss! #Trading #AIinFinance #MarketManipulation #HumanVsMachine #OperationalExcellence

What do buyout LPs expect when it comes to Operational Value Creation (OVC) in buyouts? Are all PE firms measuring up to expectations? What internal changes are LPs considering to better monitor OVC ? Stay tuned... AlixPartners bfinance GP-Score Actum Group Dahab Capital Balentic #buyout #valuecreation #privateequity

𝗪𝗲 𝗮𝗿𝗲 𝗲𝘅𝗰𝗶𝘁𝗲𝗱 𝘁𝗼 𝘀𝗵𝗮𝗿𝗲 𝗟𝗲𝘀𝘁𝗿𝗮𝗱𝗲’𝘀 𝗹𝗮𝘁𝗲𝘀𝘁 𝗾𝘂𝗮𝗿𝘁𝗲𝗿𝗹𝘆 𝘀𝘁𝗮𝘁𝗶𝘀𝘁𝗶𝗰𝘀 𝗳𝗿𝗼𝗺 𝗼𝘂𝗿 𝗢𝗽𝗲𝗿𝗮𝘁𝗶𝗼𝗻𝗮𝗹 𝗗𝘂𝗲 𝗗𝗶𝗹𝗶𝗴𝗲𝗻𝗰𝗲 (𝗢𝗗𝗗) 𝗽𝗿𝗮𝗰𝘁𝗶𝗰𝗲. In 2024, we observed s𝘶𝘣𝘴𝘵𝘢𝘯𝘵𝘪𝘢𝘭 𝘨𝘳𝘰𝘸𝘵𝘩 𝘪𝘯 𝘈𝘶𝘔 among the larger, globally operating asset managers. This growth was accompanied by a consistent increase in revenues, reflecting the strong performance of the industry’s major players. However, the environment remains competitive, with mid-sized and smaller asset managers continuing to face margin pressures, as consolidation trends intensify across the sector. Impact investing has taken center stage in recent years, with a notable surge in demand for compliance with 𝘚𝘍𝘋𝘙 𝘤𝘭𝘢𝘴𝘴𝘪𝘧𝘪𝘤𝘢𝘵𝘪𝘰𝘯𝘴, 𝘱𝘢𝘳𝘵𝘪𝘤𝘶𝘭𝘢𝘳𝘭𝘺 𝘈𝘳𝘵𝘪𝘤𝘭𝘦𝘴 8 𝘢𝘯𝘥 9. Over the past quarter, we witnessed an increase in requests for due diligence focused on evaluating impact capabilities and ensuring compliance with these regulatory standards. Our team has worked closely with clients to assess asset managers' alignment with sustainability goals, helping them navigate the complexities of impact investing and remain at the forefront of regulatory requirements. A heartfelt thank you to our team for their dedication and to our clients for their trust and partnership. We look forward to supporting you in navigating the complexities of today’s investment landscape. #SFRD #DueDiligence #Investmentmanagement

𝗤𝘂𝗮𝗿𝘁𝗲𝗿𝗹𝘆 𝗛𝗶𝗴𝗵𝗹𝗶𝗴𝗵𝘁𝘀: 𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗥𝗲𝘀𝘂𝗹𝘁𝘀 𝗳𝗿𝗼𝗺 𝗟𝗲𝗮𝗱𝗶𝗻𝗴 𝗔𝘀𝘀𝗲𝘁 𝗠𝗮𝗻𝗮𝗴𝗲𝗿𝘀 After our article featuring financial data on European asset managers through Q3 2024 became the most-read piece on Investment Officer NL last week, we're excited to share a brief preview of the 2024 total profitability of three of the world's largest asset managers. This week, three of the industry's top asset managers—BlackRock, J.P. Morgan Asset & Wealth Management, and Goldman Sachs Asset Management — released their quarterly and annual results. At Lestrade, we leverage these insights as benchmarks in our Operational Due Diligence (ODD) reviews. 𝙆𝙚𝙮 𝙏𝙖𝙠𝙚𝙖𝙬𝙖𝙮𝙨: 𝗦𝘁𝗿𝗼𝗻𝗴 𝗔𝘂𝗠 𝗚𝗿𝗼𝘄𝘁𝗵 𝗶𝗻 𝟮𝟬𝟮𝟰: • BlackRock: +15% • JPM AWM: +18% • GS AWM: +12% 𝗥𝗲𝘃𝗲𝗻𝘂𝗲 𝗚𝗿𝗼𝘄𝘁𝗵: Consistent with AuM increases across all three firms. 𝗥𝗼𝗯𝘂𝘀𝘁 𝗢𝗽𝗲𝗿𝗮𝘁𝗶𝗻𝗴 𝗠𝗮𝗿𝗴𝗶𝗻𝘀: BlackRock leads with an impressive 37%. 𝗚𝗦 𝗔𝗪𝗠’𝘀 𝗣𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗦𝘂𝗿𝗴𝗲: Most notable is Goldman Sachs AWM’s significant improvement in profitability, rising from 10% to 28%. This was achieved through a strategic 7.4% reduction in expenses and a 16.3% increase in revenue. The results underscore the importance of disciplined expense management and strategic revenue growth for long-term success in asset management. Which trends or strategies from these results resonate most with your business? We'd love to hear your thoughts.

A strong compliance setup is the backbone of operational integrity. Yet, during due diligence, we often spot critical gaps that can pose significant risks. Compliance is not a box-ticking exercise—it’s a continuous, proactive function. Weak frameworks don’t just risk regulatory penalties; they erode trust with stakeholders. Which side does your compliance setup fall on? #Compliance #OperationalDueDiligence #RiskManagement #BestPractices #Governance