New York Life to Buy Asset Manager

The investment arm of New York Life has agreed to buy Dexia Asset Management for EUR 380 million ($512 million), expanding its reach in Europe and Australia.

The transaction, expected to close on or about December 31, would bring New York Life Investments’ total assets under management (AUM) to more than $480 billion, and could propel its rankings into the top 25 global institutional money managers.

Dexia Asset Management, an international asset manager, has approximately $100 billion in AUM. With management centers in Brussels, Paris, Luxembourg and Sydney, the company offers global fixed income, global equities, alternatives and asset-allocation products across retail and institutional channels in 11 locations covering 25 countries.

“The Dexia Asset Management acquisition further demonstrates our commitment to the global asset management business, which provides important earnings diversification for our company,” said Ted Mathas, chairman and chief executive officer, New York Life Insurance Company. “Dexia Asset Management brings even more diversification to us with its excellent footprints in Europe and Australia.”

“Dexia Asset Management has demonstrated remarkable investment performance under challenging circumstances, reflecting its strong investment management culture and solid business fundamentals,” said John Kim, chairman and chief executive officer, New York Life Investments.

The acquisition of Dexia Asset Management will give clients access to the company’s funds, strong European platform, and established Australian equities business, Kim said.