In brief

January 7, 2022

Schroders Personal Wealth (SPW), the advice joint venture between Schroders and Lloyds Banking group, has named Ben Waterhouse as its new chief client officer.

Waterhouse, who has experience in wealth management and investment space, joins SPW from Barclays Wealth.

At Barclays, he served as managing director and head of distribution, and was responsible for client facing functions across the UK.

January 11, 2022

JPMorgan Chase & Co is reportedly planning to add more resources to its private banking business in Asia, joining a raft of other banks seeking to take advantage of the evolving wealth in the region.

The bank is planning to raise its employee headcount in the region by over 100 this year, Reuters reported, citing two people with direct knowledge of the matter.

About a fifth of the new resources will be hired to focus on mainland China clients, divulged the sources.

Last year, JPMorgan recruited 42 new employees in Hong Kong to serve mainland clients as part of its strategy to expand in Asia.

According to a source, the bank had 80 employees focused on mainland China, which is considered to be one of the rapidly evolving markets globally.

The source also revealed that JPMorgan is targeting ultra-high-net-worth (UHNW) individuals in the new economy segments, including biotech, tech, and electric vehicles.

January 11, 2022

Georgia-based financial advisory firm Merit Financial Advisors has acquired Biltmore Capital Advisors and its affiliated firm Stone Creek Capital Management.

The acquisitions, whose financial details were not disclosed, were finalised on 31 December 2021.

Biltmore is an independent registered investment adviser (RIA) specialising in wealth and investment management and financial planning services. Its clientele includes affluent individuals, families, executives, and business owners.

Stone Creek focuses on providing services to those seeking margin lending, portfolio reporting, research, and other consulting services.

The deal expands Merit’s presence in South Florida and New Jersey and adds $557m in assets along with consulting services on an additional $1.6bn in assets.

Under the agreement, Stone Creek will remain as an individual business line within the Merit family of companies.

January 11, 2022

Deutsche Bank has reportedly appointed James Whittaker as the CEO of its UK wealth management business as it looks to further tap into the country’s ultra-high-net-worth segment.

Whittaker, who previously worked with UBS as its head of UK coverage, will lead DB UK Bank in the coming months, Bloomberg reported, citing an internal memo sent to employees.

He will replace Michael Morley, who has led the German lender’s UK business since 2017.

The new appointment comes as Deutsche Bank strengthens its focus on serving the ultra-rich.

It also hired Adam Russ from Goldman Sachs to co-head lending to the UHNW in Europe, Africa and the Middle East.

According to the memo, Russ will join the board of DB UK Bank along with the unit’s COO Paul Chapman.

January 10, 2022

Tavistock Investments has agreed to acquire a 21% holding in an independent financial advisory group LEBC, which operates three wholly-owned subsidiaries.

Tavistock is purchasing the 212,738 ordinary shares of £0.01 each for £10m from Marie McVitie, the widow of LEBC founder and former CEO Jack McVitie.

The company said that it will pay £6m of the consideration upon closing and £4m twelve after the completion of the deal.

As per the Financial Conduct Authority (FCA) rules, Tavistock will become a ‘controller’ in two of the LEBC’s regulated subsidiaries, namely LEBC Group and Aspira Corporate Solutions, following the stake purchase.

January 10, 2022

The Cardano Group has concluded its previously announced acquisition of Dutch Dutch sustainable investment manager ACTIAM from Athora Netherlands.

The transaction, which was first announced in October 2021, was closed following the receipt of regulatory approval.

Considered to be one of the few ‘pure-play’ sustainable asset managers, ACTIAM specialises in impact investing, especially in microfinance and SME finance.

The acquisition increases Cardano’s assets under management by more than £18.5bn. The deal also expands the company’s ESG advisory capabilities and enhance its impact investment offering.

Furthermore, the acquisition will bolster Cardano’s service provision in segments such as investment funds, corporate sustainability analysis and ESG advice.

It will also enable Cardano to rollout sustainable equity and fixed income portfolios in both the active and passive space, as well as sustainable stewardship, in house.

January 10, 2022

Schroders has named Tim Goodman as the new head of Corporate Governance to further enhance its engagement and voting on corporate governance matters worldwide.

Goodman has over 29 years of experience across the Environmental, Sustainability and Governance (ESG) as well as in the broader responsible investor and corporate communities sectors.

Before joining Schroders, Goodman spent 14 years Federated Hermes. Prior to that, he held sever key positions in the insurance space, including the role of company secretary at the UK-listed Domestic & General Group.

Goodman is a member of Institute of Chartered Secretaries and Administrators and a former member of US Council of Institutional Investors’ Corporate Governance Advisory Council.

January 10, 2022

US-based multi-boutique manager Spouting Rock Asset Management has agreed to take majority ownership in alternative asset manager Old Hill Partners.

The financial terms of the deal and the size of the stake were not disclosed.

Old Hill specialises in asset-based lending transactions with small- and medium-sized businesses (SMBs).

In concurrent with the transaction, Spouting Rock established a new subsidiary, called Spouting Rock Alternative Credit (SR Alternative Credit), to house the asset-based lending business of Old Hill.

The unit, which will be led by ex-Old Hill employees Jeff Haas and Peter Faigl, aims to pin down ‘opportunities for risk-adjusted returns in private debt well in excess of those available to traditional credit investors’.

In addition, it will act as the investment advisor to Old Hill’s current funds and other investment vehicles.

The purchase of Old Hill is expected to help Spouting Rock bolster its platform and better serve clients’ existing portfolio requirements.

January 10, 2022

Brazilian broker XP has signed a binding agreement to acquire up to 100% of investment banking firm Banco Modal.

The all-share deal, which values Modal at $528m, will see XP issue 19.5 million newly issued XP Class A shares to pay for the purchase.

If the deal fails to obtain approval from a minority shareholder of Modal, XP will acquire the buy majority shareholders’ 55.7% stake and offer to buy out any willing minority holders.

January 7, 2022

Tilney Smith & Williamson (TSW) has acquired independent financial advice (IFA) firm FP Solutions for undisclosed amount.

This deal is part of the firm’s succession programme that was launched in November last year with the acquisition of Explore Wealth Management.

FP Solutions provides personalised service to clients with a focus on pensions and investment advice.

Under the agreement, the company’s founder and owner Steve Jupp will join TSW’s Chelmsford office and will report to financial planning partner Pete Beasant.

The Chelmsford team offers a range of financial services, including investment management, investment advisory and financial planning.

Tilney Smith & Williamson Head of Strategic Partnerships Richard Dawes said: “Steve has built a great business working with clients from across Essex and this move will ensure they continue to receive a high-quality, personalised service for many years to come. The announcement also demonstrates our commitment to continue growing our business in Chelmsford and the wider Essex area.”