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

Will Liquid Alts’ Performance Sustain Future Asset Flows?

Aug 25 2014 | 10:34am ET

Liquid alternative investment funds saw the highest percentage of capital inflows...

Lifestyle

Hedgies, Economists and Musicians Mingle At Milkin Mixers In Hamptons

Aug 25 2014 | 6:00am ET

Leave it to Michael Milken to bring some gravitas and sweat to the Hamptons -- along...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

July/August 2014 Cover

The time was right

Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...

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.