A David among Goliaths

The Exchange Traded Products (ETP) market is dominated by the subsidiaries of several very large investment banks but Source – an independent operator – has grown to become one of the top five ETP firms in Europe.

ETPs are funds that track indices such as the FTSE and AIM, but unlike most other types of funds, they can be bought and sold on a stock exchange.

“We have developed a loyal investor base by delivering investments that are differentiated from others in the market and structured effectively for our investors,” says CEO Ted Hood. “In many cases, this has been accomplished through innovation.

For example, we were the first company in Europe to launch actively managed ETPs, and we remain the dominant provider in that area.”

  • Source has built up a range of 80 products

Over the past five years, Source has built up a range of around 80 products and it expects growth in the European ETP market to accelerate in the coming years.

For small businesses starting out, it’s important not to forget your point of differentiation. “Many businesses fall into the trap of forgetting what set them apart from the competition in the first place, and what it was that their customers found appealing,” says Ted. “This is too often the case when companies begin to branch out into new areas, either with new product lines or new markets.

“Continue doing what your customers expect from you, while also looking for ways to continually do it better,” he advises.