- JSE All Share (ALSI) 70,475.02
- Rand/Euro R 18.06
- Rand/Pound R 21.19
- Rand/US Dollar R 16.00
- Rand/Aus Dollar R 11.34
An ongoing trend in the global asset management industry over the recent past has been the consolidation of asset management businesses. If one searches the topic on Google, you will find headlines that read “Merger Mania” and “Asset management primed for consolidation”. These mergers and acquisitions are often trumpeted as being a win-win for clients, advisers, and asset managers. But as we know all too well, when something sounds too good to be true…it just might be.
In this month’s comment we investigate this trend and try to figure out what it means for local investors, and if this is a practice to cheer on or to be wary of.