361 Capital, a US-based investment firm that specialises in liquid alternative mutual funds, has agreed to acquire equity money manager BRC Investment Management for an undisclosed amount.
BRC was established as a result of separation of the US equity investment team from Duff & Phelps Investment Management.
It delivers behavioral-based solutions to its customers and designs proprietary algorithms to monetize market inefficiencies to pursue consistent alpha for client portfolios.
361 Capital said that the acquisition will bring complementary investing skills and time-tested strategies, which will include large, mid and small cap, and Japanese All-Cap Equity to its product offering.
Following the completion of deal, BRC will operate under the 361 Capital name. The deal is expected to close by 31 October 2016.
361 Capital president and CEO Tom Florence said: “We are thrilled to be adding BRC Investment Management’s highly experienced team to further our vision of being a world-class investment management firm specializing in distinctive solutions rooted in behavioral finance.
“Incorporating BRC Investment Management into our platform broadens our capabilities and expands our distribution footprint across both institutional and intermediary channels.”
BRC Investment Management managing principal and chief investment officer John Riddle said: “361 Capital’s highly regarded industry reputation and similar focus greatly expands our opportunity to drive meaningful alpha for our institutional clients and for a wider range of new investor portfolios. Both organizations have a strong research-oriented approach and look to capitalize on the many biases and heuristics that drive investor decisions.”