Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:UBS Buys GAM Not Rated 3.0 Email Routing List Email & Route  Print Print
Tuesday, September 14, 1999

UBS Buys GAM

Reported by Hayley Green

In an effort to expand its domestic and international private banking business, UBS AG, said Tuesday, it will buy Global Asset Management for as much as $675 million, boosting its private banking business by adding more than 150,000 wealthy clients.

Related Links
  • UBS
  • Global Asset Management
  • GAM, a 16-year-old Bermuda-based firm with $13.8 billion in assets under management, specializes in serving clients worth over $5 million.

    About 35% of GAM's assets are handled by outside managers and the remainder is run in-house for institutional clients and mutual fund investors.The group is known for hiring outside managers such as George Soros, Mario Gabelli and Fayez Sarofim to handle their money.

    "This deal is a cornerstone of the strategic plan of the UBS Private Banking Division, and it will be central in developing our full range of wealth management services worldwide," said Rudi Bogni, CEO of the Private Banking Division at UBS. "It is also instrumental in responding to changing global trends in asset management for high net-worth individuals."

    UBS is Europe's second-largest bank. Under the deal it could pay as much as 4.8% of assets under management to purchase GAM. In similar deals Merrill Lynch & Co. paid 3% of assets for Mercury Asset Management, and Prudential Corp. paid 10% for M&G Group in March.

    Gilbert de Botton, GAM chairman, will remain with the firm. Denis Mirlesse, currently head of integration for the Private Banking Division of UBS, will become CEO of the GAM business area, UBS said.

    More acquisitions could be on the way. UBS has put aside some $6.5 billion to make private banking acquisitions.

    GAM will continue to operate under its own brand name as a dedicated business area within UBS's Private Banking Division. 

    Stay ahead of the news ... Sign up for our email alerts now
    CLICK HERE

    3.0
     Do You Recommend This Story?



    GO TO: MFWire
    Return to Top
     News Archives
    2020: Q4Q3Q2Q1
    2019: Q4Q3Q2Q1
    2018: Q4Q3Q2Q1
    2017: Q4Q3Q2Q1
    2016: Q4Q3Q2Q1
    2015: Q4Q3Q2Q1
    2014: Q4Q3Q2Q1
    2013: Q4Q3Q2Q1
    2012: Q4Q3Q2Q1
    2011: Q4Q3Q2Q1
    2010: Q4Q3Q2Q1
    2009: Q4Q3Q2Q1
    2008: Q4Q3Q2Q1
    2007: Q4Q3Q2Q1
    2006: Q4Q3Q2Q1
    2005: Q4Q3Q2Q1
    2004: Q4Q3Q2Q1
    2003: Q4Q3Q2Q1
    2002: Q4Q3Q2Q1
     Subscribe via RSS:
    Raw XML
    Add to My Yahoo!
    follow us in feedly




    ©All rights reserved to InvestmentWires, Inc. 1997-2020
    14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
    Privacy Policy :: Terms of Use