OCIOs Making Moves
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In the latest shakeup for the outsourced chief investment officer, or OCIO, industry, wealth management shop Cerity Partners has inked a deal to buy Agility.
Agility, the $15 billion OCIO division of Perella Weinberg Partners Capital Management, will change its name to Cerity Partners OCIO when the deal closes, the firms said yesterday.
In another recently announced deal, alts shop AlTi Global unveiled plans to snap up East End Advisors, a New York City OCIO managing $5.6 billion for ultra-wealthy families, endowments and foundations.
And in the industry's biggest recent shakeup, Vanguard sold its OCIO business to Mercer last month.
The deals follow several years of rapid growth that Chestnut Solutions Institute has predicted puts the industry on pace to pass $3.9 trillion by 2029, up from nearly $2.6 trillion at the end of 2023.
While corporate pensions currently represent the largest share of industry assets, at 48%, endowments and foundations have been the fastest growing channels for OCIOs, the Chestnut report stated.
The OCIO industry has also been setting its sights on private wealth management shops and health care systems as other avenues for expansion.
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Private equity firms are tapping into affiliated insurance companies as a source of sticky and consistent asset growth.
Blue Owl Capital is the latest firm to join that trend, announcing plans to add $20 billion in insurance-linked assets to its books through the acquisition of Kuvare Insurance Services.
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