(Bloomberg) -- Salient Partners, a $21.5 billion investment firm, plans to buy Forward Management to expand its liquid alternatives business, a fast-growing product that offers hedge- fund like strategies to individual investors.

Salient, based in Houston, expects to close the purchase of the $6 billion money manager in the second quarter, according to two people familiar with the transaction, who asked not to be identified because the information isn’t public. Forward offers separate accounts and mutual funds that invest across equity and debt markets globally.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.