Macquarie tipped to buy US asset management group

Media reports out of the US are pointing to the possible acquisition of asset management group Delaware Investments by Macquarie Funds.

Delaware Investments is an asset management company based in Philadelphia that offers products and services to retail and institutional markets. The group manages more than $120 billion in assets and has more than 150 portfolio managers, analysts and traders.

Delaware Investments is the asset management arm of Lincoln Financial Group, also known as the Lincoln National Corporation, listed on the New York Stock Exchange.

While these two groups have had a 14-year relationship, it appears Lincoln is looking to sell assets to improve its balance sheet. Lincoln Financial Group last week reported a net loss of $161 million for the second quarter of 2009.

There has been no public indication of the price Macquarie might pay for the acquisition, nor when it is tipped to occur. Aberdeen Asset Management has also been reported to be in the running on the deal, however it appears to have now pulled out of the race.

Delaware Investments offers products including managed accounts, insurance products, retirement products and mutual funds to its retail client base. While the group communicates directly with its retail clients, it also refers them to advisers where required.

The group also provides asset management services for institutional investors, such as pension funds, as well as for third-party clients including banks and insurance companies, among others.

Lincoln Financial Group is a diversified financial services company also based in Philadelphia. With Delaware on its books, the group has $181 billion in assets under management.