Standard Life Investments and Chuo Mitsui Asset Trust and Banking entered into a strategic alliance in a move to target overseas expansion in each other’s markets, according to Standard Life spokesman Brian Simmons.
Initially, Standard Life will assume the management of about $1.2 billion in assets from Chuo Mitsui’s global equity funds, and Chuo Mitsui will run about $1 billion of Standard Life’s Japan equity funds.
“The thinking (behind the strategic alliance with Chuo Mitsui) is that it would be beneficial to clients due to the respective firm’s strength in generating alpha,” Mr. Simmons said. “Going forward, there are additional opportunities to expand” by selling Standard Life’s global strategies in Japan, Mr. Simmons added. Likewise, Chuo Mitsui will benefit from Standard Life’s extensive clientele in the U.K. and elsewhere.
Standard Life had about £145.8 billion ($228 billion) in assets under management as of March 31, a majority of which from U.K. clients. Chuo Mitsui had about 24.2 trillion Japanese yen ($276 billion) in assets under management, most of which is Japanese clients.