Talent retention will be the principal concern, executives said in an internal memo reviewed by InvestLin. It is the kind of deal that says less about price than about positioning for the next cycle. It is the second strategic acquisition the buyer has closed this quarter and its largest by AUM. Compliance staff inside the acquirer have been preparing for the integration since early March. Custodial rivals were watching closely, hoping to scoop up assets in any post-merger turbulence.
Compensation for the senior partners is rumored to be tied to a five-year retention schedule. Custodial rivals were watching closely, hoping to scoop up assets in any post-merger turbulence. It is the kind of deal that says less about price than about positioning for the next cycle. Talent retention will be the principal concern, executives said in an internal memo reviewed by InvestLin.
The detail
Compensation for the senior partners is rumored to be tied to a five-year retention schedule. Insiders say the firm has been quietly building out its alternatives platform since last summer. It is the kind of deal that says less about price than about positioning for the next cycle. The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. Regulatory filings are not expected to slow the timeline; the deal is expected to close in the third quarter.
“Issuers learned that filing an ETF is easy. Building a thousand-million-dollar book is the hard part.” ETF strategist
It is the kind of deal that says less about price than about positioning for the next cycle. Compliance staff inside the acquirer have been preparing for the integration since early March. Talent retention will be the principal concern, executives said in an internal memo reviewed by InvestLin. Industry observers expect a small wave of follow-on deals from competitors.
What it means for advisors
Insiders say the firm has been quietly building out its alternatives platform since last summer. Compensation for the senior partners is rumored to be tied to a five-year retention schedule. The deal is the latest in a wave of consolidation that has reshaped the channel over the past three years. Both sides described the transaction as transformational, but neither would discuss financial terms on the record.
- Regulatory filings are not expected to slow the timeline; the deal is expected to close in the third quarter. The transition team has been on site since Tuesday, walking through technology integration with the home-office staff.
- The transition team has been on site since Tuesday, walking through technology integration with the home-office staff. Both sides described the transaction as transformational, but neither would discuss financial terms on the record.
- Both sides described the transaction as transformational, but neither would discuss financial terms on the record. Insiders say the firm has been quietly building out its alternatives platform since last summer.
The deal is the latest in a wave of consolidation that has reshaped the channel over the past three years. Compliance staff inside the acquirer have been preparing for the integration since early March. The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. Compensation for the senior partners is rumored to be tied to a five-year retention schedule.
