Schroders PLC will acquire fund of hedge funds manager NewFinance Capital, which has about $2.5 billion in assets under management, according to a news release. The U.K. fund manager agreed to pay $101 million and another $41 million contingent on future revenues.
Separately, Schroders today announced Schroder Investment Management's institutional assets under management were up 14% for the year ended Dec. 31, to £78.7 billion ($137.2 billion). Asset management profits rose by 60% over year-end 2004, but institutional net outflows for the year totaled £5.6 billion. The profit increase was because of strong performance from most equity markets and more focus on higher-fee work, according to the release.