Merian has acquired the Kestrel multi-asset team led by John Ricciardi in its first deal since its spin-out in June 2018.
The deal is set to complete in December with the Kestrel Global Portfolio rebranded under the Merian name. The new multi-asset team will also launch a long/short strategy in early 2020.
Already this week Merian announced a quartet of hires for its Brexit base, which will launch in Dublin this month.
Ricciardi founded Kestrel Partners in 2011 and previously had spent six years as global head of asset allocation for Alliance Bernstein.
He brings portfolio managers Ian Forrest and Dan Matthews with him to Merian.
The £151m Kestrel Global Portfolio that they manage has achieved compound annual returns of 6.2% since launch via a diversified portfolio of asset classes across global markets.
Merian said the deal was part of its strategy to grow and diversify its investment capabilities. It is its first acquisition since its management buyout last year led by then-CEO Richard Buxton.
Ricciardi will report to Buxton’s replacement as chief executive Mark Gregory.
Gregory said: “For some time we’ve been looking to selectively expand our investment proposition, aligned with client demand for differentiated, high-alpha active strategies that offer genuine portfolio diversification. The Kestrel multi-asset team’s proven process is hugely compelling and I’m delighted that we’ve signed an agreement to secure its best-in-class business.
“John and his colleagues are hugely experienced and have a fantastic track record. With the backing of our strong distribution presence and the launch of a new long/short strategy, we’re confident that we will be able to grow the team’s assets under management.”
