AssetMark Poised for the Future with New Ownership Structure
CONCORD, CA – April 11, 2016 – AssetMark, Inc. (or the “Company”), a leading provider of innovative platform, investment and consulting solutions serving financial advisors, announced today that Huatai Securities has agreed to purchase the Company from private equity firms Aquiline Capital Partners and Genstar Capital.
“As a management team with ownership that ensures alignment of interest in our continued success, we are confident we have the right partner to invest in AssetMark’s next stage of growth,” said Charles Goldman, president and CEO of AssetMark. “We are excited to work with Huatai through this transition and beyond as we share a common belief in delivering outstanding service and innovative solutions to advisors and the investors they serve.”
The transaction is expected to close before the end of 2016.
Huatai Securities is a leading integrated securities group in China with a strong customer base, a leading digital platform and comprehensive service capabilities. Huatai provides services including brokerage and wealth management, investment banking, asset management and investment and trading to retail investors, institutional investors and corporate clients. For the year ended 2015, Huatai was the No. 1 ranked broker by stock and funds trading volume and No. 4 in terms of total assets among Chinese securities companies. The firm is publicly traded on both the Shanghai and Hong Kong stock exchanges with a market capitalization of over US$18.5 billion.
After the transaction closes, AssetMark will remain an independently operated company with the same experienced leadership team, brand, sales and service structure and strategy to help advisors deliver great outcomes for their investors. AssetMark’s portfolio strategist lineup and custodian options will also remain the same.
AssetMark was purchased by private equity firms Aquiline Capital Partners and Genstar Capital in summer 2013 from Genworth Financial. “We particularly want to thank Aquiline and Genstar for being tremendous partners over the last few years in providing us with the opportunity to build a platform that has helped so many advisors,” said Goldman.
Huatai’s President and Executive Director, Zhou Yi, commented, “This transaction is a strategically important action for Huatai as it is our first investment in the U.S. We are excited to work with the management team and invest in AssetMark’s growth. We also believe that AssetMark’s asset management capabilities and technology leadership give us the opportunity to provide new and innovative wealth management solutions to our clients.”
After the transaction, AssetMark will continue to develop the innovative investment solutions and powerful technology enhancements already outlined as part of its strategy. Recently the firm launched its new Investing Evolved investment framework, which is designed to help advisors build portfolios that better meet investor needs.
Moelis & Company LLC, Raymond James & Associates, Inc. and Starr Strategic Partners, LLC served as financial advisors to AssetMark, while Willkie Farr & Gallagher LLP and Jun He Law Offices served as legal counsel.
About AssetMark, Inc.
AssetMark, Inc. is a leading independent provider of innovative investment and consulting solutions serving financial advisors. The firm provides investment, relationship and practice management solutions that advisors use to help clients achieve their investment objectives and life goals. AssetMark, Inc., including its Savos and Aris divisions, has approximately $29.3 billion in assets on its platform and a history of innovation spanning over 20 years. For more information, visit www.assetmark.com and follow @AssetMark on Twitter.