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MAN GROUP PLC

ACQUISITION OF GLG PARTNERS, INC

 

 

On May 17th 2010 Man group plc, the world's largest publicly traded hedge fund acquired GLG Partners, a leading global multi-strategy investment manager founded in 1995, for $1.6 billion in cash and stock. The combined company will manage $63 billion in assets worldwide.

 

The Man Board believes that the Acquisition provides compelling strategic and commercial benefits to Man Sharholders through :

  •  The combination of two established investment management businesses with complementary investment strategies and the integration of sales, structuring and operations between the firms.

 

  • A complementary geography of distribution franchises and investors, offering the opportunity to market products into new markets and to new investors.

 

  • The potential of the Enlarged Group to add significant incremental funds under management through combining GLG's investment offering with Man's structuring and distribution expertise.

 

  • The low correlation of performance between the quantitative investment style of Man and the discretionary investment style of GLG, providing greater stability in the combined performance fee prospects and the creation of new high margin products for distribution.

 

  • The expansion of open-ended product offering in onshore markets in single manager and combination formats to broaden and facilitate the raising of new assets in those markets.

 

  • The subsequent organic build out of discretionary investment strategies bye the combined business.

 

  • A combined product offering, with an emphasis on liquid strategies, well positioned to benefit from the expected continued growth in onshore products globally.

 

 

Two businesses are highly complementary, both focused on delivering long term performance but each with differing client bases and uncorrelated investment strategies. The combination of Man's outstanding distribution and structuring capabilities together with the GLG leading investment teams will benefit all shareholders, particularly investors whose interests will be exceptionally well served from within the combined group.

 

 

We at Capital Performance Partners SA remain focused on your needs and commited to delivering performance and service levels of the highest standards.

 

 

The information provided here is based on data we consider reliable but which we do not represent to be accurate or complete.

 Any recommendation contained in this report may not be suitable for all investors.

Past performance is not indicative of future performance results.

 

 

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Grand-Chêne 6, 1003 Lausanne - Switzerland. Phone : +41 21 331 15 50 - Fax +41 21 331 15 25

E-MAIL : pshama@cperformance.com