GSFM has acquired a 49% stake in boutique equity specialist Redpoint Investment Management, creating a combined firm with over $17 billion in assets under management, with GSFM acquiring the stake previously held by MLC Asset Management.
Redpoint was established in 2011 and covers Australian equities, international equities, global infrastructure and global property.
Eric Smith, chief investment officer (CIO) and co-founder of Redpoint would step down on completion of the sale but remain a member of the board. Ganesh Suntharam, co-founder of Redpoint, would take over as CIO.
Damien McIntyre, GSFM chief executive, said: “GSFM is focused on identifying under-serviced investor needs and marrying this with high quality investment solutions.
“We see demand in the Australian market for quantitative solutions and Redpoint brings a highly credible and experienced team to provide such strategies.
“The transaction opens up further opportunity to expand the number of solutions we are providing to our clients in the Australian market.”
The acquisition would bring GSFM’s fund manager partners up to eight, covering areas such as Australian equities, global equities and absolute return.
Redpoint chief executive, Max Cappetta, said: “GSFM’s acquisition of a 49% equity stake in the business will allow the Redpoint team to focus on investment management, while also introducing our funds to a wider audience through GSFM’s dedicated, focussed and specialist distribution capability.”