Traditional mergers and acquisitions among asset management companies may be a bit passe these days. Affiliated marketing partnerships, revenue and equity sharing deals and sub-advisory adoptions are definitely in vogue, right alongside the more conventional outright company buyouts.
Some of the types of new expansion strategies include privately held investment management firms looking to partner with an outside investor in order to expand. Some prefer to sell an equity interest to a great marketing organization in order to focus solely on core portfolio management. On the other hand, others choose to hand over the broader investment management job and simply morph into a sub-adviser, or simply find an exit strategy altogether. Whatever the growth strategy, it seems that there is a model to suit them.