Mercer-Vanguard Deal Praised as Good Fit for Both Firms (Pensions & Investments)

North Pier’s Senior Consultant Freeman Wood was recently quoted in Pensions & Investments discussing Mercer’s recent acquisition of Vanguard Group’s OCIO business.

“Mercer‘s decision to acquire the outsourced chief investment officer business of Vanguard Group was hailed by some OCIO consultants and experts, saying this deal between the two behemoths made sense for both parties…

Freeman Wood, senior consultant role with North Pier Search Consulting, said there are a growing number of OCIOs in the market that range from large global organizations like Mercer to small and more boutique-focused companies.

“Given that there are economies of scale to serving a larger number of clients, the organizations that have the infrastructure and capabilities to grow their client bases will likely continue to look for acquisitions,” he said. “There will continue to be change and consolidation in the OCIO market, and understanding your provider services and the market landscape as it changes is critical.”

He also noted that acquisitions and integrating new teams can be a potential distraction, so it is important for asset owners to continually monitor and assess their relationships as changes occur.”

Read the full article here.