Twelve money management deals took place in the second quarter of 2020, a 33% increase from the previous quarter. In the second quarter of 2019, there were 24 transactions. Assets under management involved in the latest-quarter transactions totaled $6.7 trillion, up 653% from $889.8 billion in the previous quarter, mostly driven by the 22.4% stake sale of BlackRock Inc. by PNC Financial Services Group.
In the second quarter, PNC Financial Services Group sold its 22.4% stake in BlackRock, and the $14.4 billion sale included 34.3 million common and Series B convertible preferred shares. BlackRock repurchased $1.1 billion of common stock directly from PNC. J.P. Morgan Asset Management reached an agreement with Shanghai International Trust Co. to take 100% ownership of their Shanghai-based joint venture, China International Fund Management Co. Ltd. Empower Retirement agreed to buy wealth management company Personal Capital for as much as $1 billion. Bridgepoint agreed to acquire the €4 billion ($4.5 billion) credit business of private markets firm EQT. Natixis and La Banque Postale agreed to merge their fixed-income and insurance-related asset management businesses, and Natixis and La Banque Postale will own 55% and 45% of the new entity, Ostrum Asset Management.
There also were three deals in the quarter that did not involve money managers. Private equity firm GTCR purchased a 25% minority stake in investment consulting firm CAPTRUST Financial Advisors; Franklin Templeton acquired digital wealth platform AdvisorEngine; and record keeper Northwest Plan Services acquired benefits and actuarial consultant Venuti & Associates.
All information is based on transactions reported by Pensions & Investments’ global reporting staff.