Firms aren't done with their acquisitions for the year yet, as evidenced by Schroder Investment Management North America's deal.
The Schroders plc subsidiary has acquired 100% of STW Fixed Income Management LLC, a value-orientated, U.S. investment-grade fixed income manager.
Karl Dasher, global head of fixed income, said Schroder typically prefers organic growth to acquisitions. But an alignment in investment and business philosophy made STW an attractive acquisition candidate in Schroder's efforts to deepen its product set.
"We're very fortunate that our organic, strategic initiatives have delivered good results for our clients, and we're seeing good business momentum because of that. We think STW fits very well into that future," Dasher said.
"People should not read into this that acquisition is going to be our primary strategy. We're bringing on investment and business talent as well as an entire business," he added.
Dasher said this is part of Schroder's effort to build its brand name as a provider of high-quality institutional assets. Scroder has already invested in growth for its distributiona dn investment platform.
"The most significant market opportunity for Schroder is to deepen our presence in market share. This is a part of that strategy," he said.
Schroder manages just under 24 billion in fixed income assets in the U.S. As of September 30, 2012, STW manages approximately US$11.9 billion for more than 100 institutional clients.
Dasher did not disclose terms of the sale.
The acquisition is expected to be completed in the first quarter of 2013.