Aquis Technologies, the software licensing arm of Aquis Exchange PLC (AIM:AQX), will provide the 'pipework' for a market for values-driven investment funds after inking an agreement with a company called Investre.
Values-based investing, sometimes also known as ethical investing, is the process of weeding out stocks in companies that may conflict with your personal beliefs.
It requires looking beyond a firm’s balance sheet to consider the economic and social impact a business and its principals might have.
Investre is taking this a step further by building an exchange where retail customers can buy and sell values-driven investment funds - either direct from the asset manager on the primary market, or by trading with other users through an auction process on the secondary market.
Aquis will be helping facilitate the latter via its Matching Engine and its Aquis Market Surveillance product, as well as providing “ongoing operational support to the business”.
With the launch planned this year, the new market will allow investors to trade tokenised, actively managed funds known as UCITS.
Adrian Ip, a director of Aquis Technologies, said: "This is a great initiative for the funds market, and we are particularly proud to be producing the first EU-regulated totally cloud-native exchange for retail investors.
“For too long the retail market has been cut out of the loop, but Investre's blockchain approach is a great way to bring the end-user directly into the market."
The value of the three-year contract has not been disclosed.