Hightower's Strategic Investment in NEPC
Hightower Holding has announced an exciting new chapter by acquiring a majority interest in NEPC, LLC, a respected investment consultant and outsourced chief investment officer (OCIO). This strategic move is designed to combine the strengths of both companies, allowing them to enhance the quality of investment solutions and research-driven advice provided to their clients.
The Significance of the Merger
With a growing interest among private wealth investors in private market investments, this acquisition will significantly bolster Hightower's portfolio of wealth management solutions. NEPC’s established institutional research and investment capabilities align perfectly with Hightower’s commitment to delivering top-tier services. As a result, NEPC’s clients will continue to enjoy seamless investment advisory services while benefiting from a fruitful partnership with Hightower. The combined capabilities of both companies will represent an impressive amount of assets under administration (AUA) and assets under management (AUM), showcasing their strength in the financial marketplace.
Preserving Culture and Commitment
A hallmark of this acquisition is the intention for NEPC to retain its unique culture and operational approach. Hightower's commitment to preserving NEPC's executive team and investment processes ensures that there will be no disruption in client service or business operations. This careful integration is poised to create new opportunities for NEPC in the private wealth channel, further enhancing its offering for clients.
Leadership Insights
Bob Oros, Hightower's Chairman & CEO, expressed his enthusiasm regarding the merger, emphasizing that it represents a transformational shift in the realm of financial services and wealth management. He noted, "This powerful alliance is created by maintaining our separate identities while allowing us to leverage each other’s strengths. Our advisors will now have enhanced access to a wider array of investment management solutions. We eagerly look forward to partnering with NEPC to support growth across shared markets and beyond." This indicates a collaborative approach, as both firms aim to enhance their service offerings while staying true to their individual missions.
NEPC's Vision for the Future
NEPC's Managing Partner, Mike Manning, echoed this sentiment by reiterating that their main priority has always been to deliver innovative investment solutions to their clients. He expressed confidence that teaming up with Hightower was a strategic move. “By aligning with Hightower, we can tap into the growth potential while maintaining the core values and investment strategies that our clients have come to trust. Our partnership will empower us to offer the best possible counsel and solutions,” Manning stated. This collaborative vision sets the stage for future successes.
The Transaction Details
This strategic partnership involved guidance from Moelis & Company for NEPC, while legal considerations were expertly handled by Goodwin Procter, LLP. Hightower sought insight from Berkshire Global Advisors for research on industry trends, complemented by legal support from Kirkland & Ellis, LLP. The collaboration indicates a thorough and comprehensive approach toward this major financial maneuver.
About NEPC and Hightower
NEPC, LLC operates as a global investment consultant dedicated to private wealth advisory and OCIO services, boasting over 400 retainer clients and more than $1.66 trillion in total assets. The firm, known for its innovative investment strategies and client-centric model, builds forward-looking investment portfolios to meet the needs of institutional investors and ultra-high-net-worth families. This rich experience positions NEPC as a robust partner for Hightower.
Hightower Holdings stands as a notable wealth management firm that offers a range of investment, financial, and retirement planning services. Recognized for empowering independent-minded wealth advisors, Hightower utilizes its expansive resources to support individuals, family offices, and corporations alike. Hightower operates as a registered investment advisor and continues to expand its collaborative approach to wealth management.
Frequently Asked Questions
What is the significance of Hightower's acquisition of NEPC?
This acquisition allows Hightower to enhance its investment solutions by leveraging NEPC’s established research and advisory capabilities, supporting growth in the private wealth sector.
How will NEPC maintain its identity post-acquisition?
NEPC will retain its culture and executive team, ensuring that existing client services and operations remain uninterrupted.
Who were the advisors involved in this transaction?
NEPC was advised by Moelis & Company, and legal counsel was provided by Goodwin Procter, while Hightower engaged Berkshire Global Advisors for industry research.
What benefits does this partnership bring to clients?
Clients will benefit from expanded access to investment management solutions and enhanced research capabilities, all aimed at achieving optimal outcomes.
What does the future hold for the combined companies?
The partnership between Hightower and NEPC aims to explore new growth opportunities, strengthen their market positions, and deliver superior investment counsel to clients.
