Melbourne-based fund management firm Spatium Capital and Singapore-based Conduit Group have announced plans to consolidate to expand their collaboration in distribution and markets.

According to the firms, this enhanced partnership aims to leverage their deep expertise and resources, combining Spatium’s quantitative investment approach with Conduit’s global reach.

Paul Duran, chief executive of Conduit Group, described the consolidation as an “important milestone” for both firms’ growth strategies.

"By combining our complementary strengths and working together with Nicholas Quinn and Jesse Moores to enhance our ability to build exposure to international markets, we are well positioned to offer clients enhanced access to global capital markets and provide more robust solutions to meet their evolving financial needs,” he said.

Jesse Moores, director of Spatium Capital, also expressed optimism about the move.

"Our shared commitment to innovation and delivering superior financial products will help us better serve our clients in Australia, offering them unique international investment opportunities in an increasingly interconnected financial world," he said.

Moores also noted how the consolidation would improve the firms' ability to meet the demand for innovative products among Australian wealth advisers, institutions and researchers in a market "desperate for differentiation".

Among other key benefits, the consolidation is expected to provide joint access to global financial markets and strengthen distribution capabilities for investment products for institutional and wholesale investors in regions such as Asia, Australia, Europe, South Pacific and emerging markets.

It will also drive innovation through the combined expertise in structuring individual financial products, enabling Conduit Group and Spatium Capital to provide clients with customized investment strategies with quantitative and qualitative overlays.

Conduit Group consists of Conduit Asset Management, which offers a range of services to institutional investors and family offices, and Conduit Securities, an agency-only execution broker. It also includes subsidiaries Conduit Suisse and asset management business Conduit Cayman.

Spatium Capital, meanwhile, is an independent fund management firm serving wholesale and sophisticated investors. He specializes in identifying mispriced listed stocks by applying in-depth statistical and volatility modeling to listed market data.

Since its establishment in 2018. Spatium Small Companies Fund has delivered 44.4% against the benchmark return of 9.8%.

Earlier this year, Nicholas Quinn, co-portfolio manager and director of Spatium Capital, was also named Rising Star of the Year by InvestorDaily's sister brand, Money Management's 2024 Fund Manager of the Year Awards.