The Central Bank has given regulatory approval for the acquisition of Davy Global Fund Management by investor services provider IQ-EQ.

The business will operate as IQ-EQ Fund Management, effective immediately.

Tom Berrigan takes up the role of Managing Director of IQ-EQ's newly enlarged Ireland business.

Speaking on Morning Ireland, Mr Berrigan said it means the firm now has a broader service offering for clients in Ireland.

"It also means, just as importantly, that we can service their needs anywhere in the world where they need to establish their market or fund, so from IQ-EQ Ireland perspective, we can look after them in the EU, but we can also look after them in the UK, US or Asia," he said.

The newly combined business will offer Fund Management and Portfolio Management services, Fund Administration and Corporate Administration services from its offices in Dublin and Shannon where it employs a team of more than 130 people.

This is part of a total employee base of 4,000 operating across 24 jurisdiction globally. IQ-EQ also employs 150 people in its Belfast office.

"It's hugely exciting for employees as it will create lots of opportunities for us," Mr Berrigan said.

"I think it's really the global network that we have, we can now help our clients with their global ambitions in terms of establishing funds or structures across the world, and more locally I think the real benefit will be the cost and reporting efficiencies that would our IQ-EQ integrated offering will bring," he said.

Integrating the two businesses was not that big a challenge, he said. "The business is highly complimentary to the existing fund administration and corporate service that IQ-EQ already operate in Ireland, so if you think about it as a menu of services, our business simply adds a further dimension to that current offering."

The sector contributes almost €1bn annually to exchequer, but for Ireland to remain one of the core funds centres globally, it will need to bolster its sustainability compliance as sustainability regulations loom large, and Brexit challenges become a reality .

The strategic combination will strengthen the presence of ESG expertise in the region, supporting the industry to prepare before sustainability related disclosures come into full force in 2023.

"That's a big area for us in IQ-EQ," Mr Berrigan said. "That is fully the trend at the moment and rightly so. We have a big offering in that area as well."