Aberdeen Asset Management (AAM) has added nearly £2billion to its assets under management after completing a takeover of financial technology services group Parmenion.
Granite City-based AAM, which manages nearly £300billion of third party assets from offices around the world, said the move put it at the forefront of a digital revolution.
The value of the deal, which took in Bristol-based Parmenion Capital Partners (PCP) and sister company Self Directed Holdings (SDH), was undisclosed.
It is AAM’s third acquisition of a financial services firm in the space of a few months, following its purchases of US private-equity company Flag Capital and hedge fund Arden Asset Management.
The investment giant has also bolstered its property holdings through the acquisition of Liverpool’s historic Albert Dock for £43million.
PCP and SDH have developed financial technology platforms – centralised investment propositions – aimed at providing investors with portfolios appropriate to their needs. The firms have more than 900 clients.
AAM said it wanted to become a leader in the market by investing in the businesses to help them develop and expand their services.
Key benefits of the move highlighted by AAM include it accelerating its ambitions to provide “digital innovation and services across distribution channels”.
AAM chief executive Martin Gilbert said: “With Aberdeen’s support and investment, I believe we can build on Parmenion’s success to meet the changing needs of financial advisers.
“This acquisition ensures Aberdeen is at the forefront of the digital revolution within asset management and augments our strategic aim to grow our investment solutions business.”
The latest bolt-on acquisition comes just over a month after AAM revealed a 12.5% plunge in the total value of assets under management, to £283.7billion.
It also warned the current weakness in these markets “may have some way to run” after the worst quarter for outflows since the financial crisis.
But Mr Gilbert said the long-term fundamental attractions of investing in “these high-growth economies” remained compelling for patient investors.