The deal is expected to close Jan. 1, when the combined investment consulting firm will be known as Segal Marco Advisors. The new firm will have a staff of more than 150 professionals serving more than 400 clients with advisory assets exceeding $500 billion. Marco brings more than $100 billion in assets under advisement from 100 clients, mostly multiemployer plans, while Segal Rogerscasey has $400 billion in AUA from 300 clients.
“These are two firms that have operated in pretty similar space in the multiemployer Taft-Hartley end of the institutional world. We’ve worked with each other. We’ve competed with each other. Over time, we got to know each other well,” said Tim Barron, CIO at Segal Rogerscasey, in a telephone interview. “It’s like two heavyweights circling each other in the ring and then going out for beers afterwards and realizing they’ve got a lot in common.”
Mr. Barron added that Segal Rogerscasey had “a strong presence in the (multiemployer) market and this was an opportunity to increase that presence.”
John DeMairo, Segal Rogerscasey’s president and CEO, will continue in the same role at Segal Marco Advisors. Marco co-founders Jack Marco and Tom Mitchell Sr. will serve as advisers to the new company. Mr. Marco is chairman and Mr. Mitchell, vice chairman of MCG. The entire Marco staff will be joining Segal Rogerscasey. It could not be learned by press time what position Jason Zenk, CEO at Marco, will be taking with the new consulting firm.
Segal Marco Advisors will be headquartered in New York, but will continue to have a presence in Chicago operating out of the current MCG office. In addition, it will have offices in Atlanta; Boston; Chicago; Cleveland; Darien, Conn.; Dallas; Denver; Los Angeles; Seattle; Toronto and Dublin, Ireland.
Segal Rogerscasey is a subsidiary of The Segal Group.