Kingswood, the listed UK based wealth manager, has announced that it has acquired an interest in Manhattan Harbor providing it with a key strategic foothold in the world’s largest wealth and investment management market.
Kingswood has immediately acquired a 7% interest in Manhattan Harbor with the ability in the coming months to achieve a 20% holding.
Manhattan Harbor is a holding company with operations in New York and Atlanta that will acquire, consolidate and manage Independent Broker Dealers and Registered Investment Advisers across the US.
Kingswood is acquiring this interest at an attractive discount relative to market reflecting the desire of both parties to develop a highly accretive global platform providing clients access to investment product and services in major US and UK markets.
As the largest global wealth management market, estimated to be worth $46.9 trillion as at 2016, Kingswood sees the US as a major growth opportunity.
The market is still growing significantly year on year, with 5.7% compound annual growth rate forecast for the period 2016 – 2020. By the end of 2025, it is estimated the North American market will be worth in excess of $71.2 trillion.
Gary Wilder, Group CEO at Kingswood, said: “We are delighted to be able to announce our first venture in the US and believe the team and structure we have put together with Manhattan Harbor is a very strong proposition, complementing our existing offering.”
Commenting on the partnership, Michael Nessim, Head of Manhattan Harbor, said: “We’re very pleased to partner with a well-known and respected UK wealth manager that has exciting international growth plans. The partnership provides dual benefits to both Manhattan Harbor and Kingswood including accelerating adviser recruitment and boosting AUM but also providing a foothold in the largest global wealth management market that is growing rapidly. We’re looking forward to this exciting new chapter with Kingswood.”
