BOSTON & PALM BEACH, Fla.--(BUSINESS WIRE)--AMG Wealth Partners, LP, a subsidiary of Affiliated Managers Group, Inc. (NYSE: AMG), has entered into a definitive agreement to acquire an equity interest in Veritable, LP. After the closing of the transaction and consistent with AMG’s investment approach, Veritable’s management and employees will hold a significant equity interest in the business and continue to direct its day-to-day operations.
Veritable, a leading wealth management firm, manages over $10 billion across nearly 200 ultra-high-net-worth families. A pioneer in open-architecture wealth advisory services, Veritable provides comprehensive, objective and tax-sensitive investment consultation through an approach customized for each client’s specific needs. Founded in 1986 by Chief Executive Officer Michael Stolper, the firm is based in Newtown Square, Pa., and has 84 employees, including 36 investment advisory and 12 research professionals.
“We are very pleased to partner with Veritable, a fast-growing and widely recognized leader among independent wealth management firms,” stated Sean M. Healey, AMG’s Chairman and Chief Executive Officer. “Over the next decade, the wealth management industry will benefit from favorable demographic trends, which will result in a significant increase in the number of high-net-worth individuals and drive growing demand for institutional-quality wealth advisory firms. As one of the most highly regarded and successful firms in the industry, Veritable is well positioned to continue to capitalize on this opportunity. Veritable’s decision to join AMG Wealth Partners underscores the strength of our investment model and our reputation as the partner of choice for boutique firms.”
John W. Copeland, President of AMG Wealth Partners, added, “Veritable is an outstanding firm with a 25-year track record of providing unbiased, comprehensive advice and industry-leading investment performance to wealthy families. We are impressed with Veritable’s entrepreneurial culture, the tremendous depth of talent across the organization and the tailored approach to each individual client.”
“We are excited to join AMG Wealth Partners as we believe their unique approach serves the best interests of our clients, partners and employees,” said Mr. Stolper. “Veritable’s success is based on our firm’s culture, objectivity and commitment to client service, and our partnership with AMG ensures the preservation of these core principles – now and for future generations.”
Upon completion of the transaction, AMG Wealth Partners will own an equity interest in Veritable, and a broad group of Veritable’s senior professionals, who have made long-term commitments to the firm, will continue to hold a significant equity interest. The terms of the transaction were not disclosed.
About AMG Wealth Partners
AMG Wealth Partners is a subsidiary of Affiliated Managers Group, Inc. (NYSE: AMG), a global asset management company with equity investments in leading boutique investment management firms. As of December 31, 2011, the aggregate assets under management of AMG’s Affiliates were approximately $338 billion (pro forma for the pending investment) in more than 350 investment products across a broad range of investment styles, asset classes and distribution channels. AMG’s strategy is to generate growth through the internal growth of existing Affiliates, as well as through investments in new Affiliates. In addition, AMG provides centralized assistance to its Affiliates in strategic matters, marketing, distribution, product development and operations.
AMG Wealth Partners employs the essential elements of AMG’s proven partnership model, with an approach tailored to meet the unique attributes and needs of independent wealth advisory firms. The firm seeks permanent partnerships with the most highly-regarded wealth management firms and provides capital, strategic guidance and infrastructure capabilities to help them grow, scale their businesses and better serve their clients.
Certain matters discussed in this press release may constitute forward-looking statements within the meaning of the federal securities laws. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including changes in the securities or financial markets or in general economic conditions, the availability of equity and debt financing, competition for acquisitions of interests in investment management firms, the ability to close pending investments, the investment performance of our Affiliates and their ability to effectively market their investment strategies, and other risks detailed from time to time in AMG’s filings with the SEC. Reference is hereby made to the “Risk Factors” set forth in AMG’s Form 10-K for the year ended December 31, 2011.
AMG routinely posts information that may be significant for investors in the Investor Information section of its website, and encourages investors to consult that section regularly. For additional information, please visit www.amg.com.