New York Life Investments Acquires 60% of FoF Shop Private Advisors

Dec 3 2010 | 7:24am ET

New York Life Investments will acquire a majority stake in the $4 billion private equity and fund of hedge funds shop Private Advisors.

New York Life Investments will take a 60% stake in the investment firm while Private Advisors' equity holders will retain the remaining 40%. A significant portion of the equity holders' proceeds will be re-invested in Private Advisors' funds alongside its clients. The value of the deal, which is expected to close December 31, has not been released.

“Private Advisors has a long history of delivering risk-adjusted investment returns, with a strong focus on capital preservation. The firm has a well-defined investment process that incorporates investing in alternative investment managers with proven track records,” said John Kim, president and chief executive officer of New York Life Investments.

The Richmond, Va.-based Private Advisors employs a staff a 60, led by founder and managing partner Lou Moelchert. Commenting on the sale, Moelchert said, “We believe this structure maintains the alignment of interests between our management and our clients, it encourages employee retention, and places an emphasis on the long-term success of the firm.”

Private Advisors complements New York Life Investments' alternative capabilities in private equity and real estate as well as its broad suite of equity and fixed income strategies.

Together with its affiliates, New York Life Investments employs over 1,400 people and, as of September 2010, managed over $275 billion in assets.


In Depth

Q&A: High Conviction, Low Correlation

Oct 30 2014 | 7:35am ET

Acadian Asset Management's numbers are big: over $70 billion in assets under management...

Lifestyle

Ex-Hedgie Steyer Gives $56M To Climate Action Super PAC

Oct 28 2014 | 9:23am ET

Retired Farallon Capital founder Tom Steyer has poured almost $56 million into his...

Guest Contributor

Hedge Funds Weather A Data Management Perfect Storm

Oct 22 2014 | 12:28pm ET

From a regulatory standpoint, nearly every development since the crisis has placed...

 

Videos

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

October 2014 Cover

Demeter: Family affair

David and James Hamman launched their fundamental Livestock and Grains Program in March of 2010 but it really was decades in the making.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.