UK/US - First State Investments (UK) is accelerating it push into the North American institutional market.
The firm is to buy out investment manager David L. Babson & Company’s 50% stake in a joint venture set up in 1987.
Consequently, First State Investments International - part of First State Investments (UK) - will now market its institutional products and manage client relationships directly in North America.
First State's regional distribution was previously carried out through a partnership with Boston-based David L. Babson, a member of the MassMutual Financial Group. This partnership, known as Babson-Stewart Ivory International, raised over US$1bn funds under management.
Martin Harris, First State’s head of institutional business development said: We are global equity specialists and our market is expanding rapidly in North America as well as Europe. Increasingly institutional investors are demanding a truly global approach - the positive developments we have had with global asset consultants and our recent mandate wins highlight this need.
“This is an important development for us in order to meet the market demands with a quality product in the world's largest institutional market.
First State Investments is a wholly owned subsidiary of the Commonwealth Bank of Australia. First State Investments (UK) manages all global equities and global fixed income assets, and has over £7bn (US$11bn) in funds under management.
David L. Babson, a member of the MassMutual Financial Group, was acquired by Massachusetts Mutual Life Insurance Company in June 1995. Stewart Ivory & Company was acquired by First State Investments in March 2000.
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