GBS Investment Consulting, an investment advisory unit of Arthur J. Gallagher & Co., acquired Independent Fiduciary Services, according to a joint news release.
The firm will operate as Independent Fiduciary Services, a division of GBS Investment Consulting, Francis X. Lilly, IFS chairman and CEO, said in an interview. The deal closed Friday, said Mr. Lilly, who will become area chairman.
All but one of IFS’ staff of 35 will remain with the firm, Mr. Lilly said. They include Samuel W. “Skip” Halpern, IFS president, who will become area president; Andrew Irving, IFS senior vice president, managing director and chief legal officer, who will become area senior vice president and counsel; and Edward Patchett, IFS senior vice president, who will become area senior vice president and director. The departing staff member is leaving for unrelated reasons
IFS — which provides retainer investment consultant services to corporate and public-sector pension plans as well as serving as independent fiduciary for pension, 401(k) and other plans — has $29 billion in assets under advisement, Mr. Lilly said.
It will retain its some 75 clients, added Mr. Lilly.
GBS also owns Yanni Partners, another investment consulting firm.
“The expertise and experience of the IFS team in the areas of fiduciary decision-making, Taft-Hartley and public funds complements and expands the services GBS Investment Consulting already provides to its health care, religious, foundation and endowment clients,” Michael DiCenso, president, GBS Investment Consulting, said in a news release.
“Even as we gain additional analytical tools and access to the resources of the Gallagher organization, continuity in our services and personnel is essential to our clients,” added IFS’ Mr. Halpern in the news release. “Our entire management, investment staff and fiduciary experts continue operating from our current locations in Washington, D.C., and Newark, N.J. The same professionals who currently serve our many clients remain in place.”
Messrs. Lilly and Halpern each owned a range between 25% and 50% of IFS, according to its ADV filing with the SEC. Mr. Lilly declined to confirm the ownership interests.
With the addition of IFS, GBS Investment Consulting will have a total $47 billion in assets under advisement and 60 investment professionals, Mr. Lilly said.