Nick Dignam from Fortitude Investment Partners shares insights with Lachlan Maddock from Fortitude Investment Partners on how a diversified portfolio in mid-market private equity is structured. The Inside Adviser
The world of alternative investments is at a crossroads. As markets defy expectations and liquidity concerns take centre stage, investors find themselves forced to rethink how they deploy capital in an increasingly complex environment.
Clime buys MTIS Wealth to accelerate growth
John Abernethy’s listed funds management firm, Clime Investment Management (CIW) purchased its second wealth management firm, Melbourne’s MTIS Wealth Management for $7 million last week. This comes after the acquisition of Madison Financial Group back in June 2020.
The MTIS transaction follows CIW’s recent announcements of the acquisition of Ralton Asset Management Pty Ltd and the strategic alliance with Torica Funds Management. CIW has been on a bit of a spending spree of late, as the group joins many others in the industry seeking to gain relevance and scale in a shrinking sector.
MTIS is headed up by Anna Garuccio and Pauline Hammer and has another three senior advisers and support staff. The firm looks after roughly $380m in client assets and was known formerly as Investment Strategists before becoming Marcus Today Investment Strategists or MTIS. A joint venture with one of the country’s most recognisable stockbrokers, Marcus Padley. The sale did not include his prized newsletter business Marcus Today.
The wealth management and advisory sector has seen a flurry of activity as every type of firms seek to grow and gain greater relevance amid an industry in upheaval.
MTIS fits neatly into Clime’s existing private wealth business which will now total around the $800 million mark. It seems to make financial sense for a fund manager that has roughly $5.12 billion spread across six managed funds, an IMA, Proactive Portfolio SMAs, Torica’s Absolute Return fund and Ralton Asset Management’s funds, to invest in other parts of the wealth management industry, but they, like everyone acquiring, will face challenges in integration.
- Clime Investment Management will complete the acquisition on 1 July 2022, with the $7 million acquisition price paid in three stages
- MTIS principals, Pauline Hammer and Anna Garuccio, to stay on with the business post-acquisition
- MTIS has ~$380 million FUM and total gross annual revenue of ~$3 million
- This acquisition follows Clime’s recent acquisition of Ralton Asset Management Pty Ltd and the strategic alliance with Torica Funds Management
