Products You May Like
Montreal-based agency has about 50 purchasers, largely institutional buyers in Asia, Australia, the U.S. and Canada
Creator of the article:
Article content material
Desjardins Group, North America’s largest monetary companies co-operative, agreed to accumulate the belongings of Canadian funding supervisor Hexavest Inc., including $5 billion in institutional funds.
The acquisition is according to a the co-operative’s progress purpose of concentrating on $100 billion in belongings below administration by 2024, Nicolas Richard, president and chief working officer of Desjardins International Asset Administration, stated Monday in a press release. The Quebec-based asset supervisor had $83 billion in belongings below administration as of the top of March.
In Hexavest, Desjardins will get a Montreal-based agency with about 50 purchasers, largely institutional buyers in Asia, Australia, the U.S. and Canada. Phrases of the deal, which is anticipated to shut round Sept. 1, weren’t disclosed.
The deal comes three months after Hexavest stated it ended an eight-year partnership with Eaton Vance Corp., the worldwide cash supervisor not too long ago acquired by Morgan Stanley. Eaton Vance had owned 49 per cent of Hexavest and helped it promote companies outdoors Canada. A holding firm managed by Hexavest staff purchased out the stake in February.
Article content material
Hexavest’s efficiency has lagged benchmarks after a few tough years. An all-country equities technique returned 7.1 per cent annualized over the 5 years ended March 31, trailing the MSCI ACWI Index by greater than 5 share factors, in response to paperwork on the agency’s web site. A Hexavest rising markets fund did higher, returning 10.8 per cent annualized in the identical interval, barely behind the MSCI Rising Markets Index.
Article content material
“This transaction additionally permits us to consolidate Montreal’s place as an asset administration hub,” Desjardins Chief Government Officer Man Cormier stated within the assertion.