Crest’s disciplined, repeatable and transparent investment process aligns perfectly with our objective to combine undiscovered asset managers with our industry leading distribution capabilities.
Irving, TX (PRWEB) September 12, 2016
American Beacon Advisors, Inc. (“American Beacon”), a leading provider of investment advisory services to institutional and retail markets, announced today that it has reached a definitive agreement with Cypress Capital Group, Inc. to acquire controlling interest of Crest Investment Partners, LLC (“Crest”). Crest is an independent registered investment advisory firm providing quantitative, fundamentally-driven investment solutions to institutional and individual clients.
The parties expect to close the sale within the next 60 days, subject to completion of customary closing conditions, including consent from Crest’s clients. Terms of the agreement were not otherwise disclosed.
“Crest’s disciplined, repeatable and transparent investment process aligns perfectly with our objective to combine undiscovered asset managers with our industry leading distribution capabilities,” Gene L. Needles, Jr., Chairman, President and Chief Executive Officer of American Beacon, said. “Their investment strategies are highly complementary to our existing products and provide us with another growth opportunity for the firm.”
“We are excited to be able to combine our active, proprietary strategies with American Beacon’s established roots with retail and institutional investors,” Massimo Santicchia, co-founder and Chief Investment Officer of Crest, said. “It is also gratifying to be one of the first independent investment subsidiaries to be included in American Beacon’s growing multi-affiliate platform.”
In addition to separately managed accounts, Crest provides the quantitative engine behind the SmartALPHA® Strategy Indexes, a suite of four rules-based, alpha-seeking equity strategy indices designed to provide active and flexible exposure throughout an economic cycle. These strategies’ investment objective is to outperform the S&P 500 through both stock selection and sector allocation. The SmartALPHA® Strategy Indexes include SmartALPHA® Cyclical Growth, SmartALPHA® Cyclical Value, SmartALPHA® Defensive Growth and SmartALPHA® Defensive Value.
Silver Lane Advisors LLC initiated the transaction. American Beacon was advised by Colchester Partners LLC and Skadden, Arps, Slate, Meagher & Flom LLP.
This transaction follows the July closing of American Beacon’s acquisition of a minority interest in ARK Investment Management LLC, a New York-based, federally registered investment adviser that offers registered and unregistered investment products, including a suite of exchange-traded funds (“ETFs”) focused on disruptive innovation.
About American Beacon Advisors
Established in 1986, American Beacon Advisors, Inc. is a leading provider of investment advisory services to institutional and retail markets. American Beacon Advisors serves defined benefit plans, defined contribution plans, foundations, endowments, corporations and other institutional investors, as well as retail clients. The firm also provides corporate cash management and fixed-income separate account management.
American Beacon Advisors manages the American Beacon Funds, a series of competitively priced mutual funds. The Funds employ a “manager of managers” investment style and currently include international and domestic equity, fixed-income and money market funds. As of June 30, 2016, American Beacon Advisors had $51.7 billion in assets under management. For more information, go to http://www.americanbeaconfunds.com or follow on Twitter via @AmBeacon.
About Crest Investment Partners, LLC
Founded in September 2011, Crest Investment Partners, LLC (“Crest”) is an independent registered investment advisory firm. Crest was formed in an effort to provide innovative investment solutions to institutional and individual clients globally. Crest offers three proprietary products: equity strategies, strategy indexes and multi-asset portfolios. Employing a quantitative yet fundamentally-driven investment process, Crest designs active strategies intended to deliver above-market performance. For more information, go to http://www.crestinvestmentpartners.com.