Bloomberg News reports that Henderson Chief Executive Officer Andrew Formica “has done a great job getting that deal done,” Aberdeen’s CEO said on a conference call with journalists Monday. “We’d like to do something like that; there is nothing on the horizon.”
Aberdeen, which reported $9bn of net outflows in its fourth quarter on Monday, abandoned a potential bid for UniCredit SpA’s Pioneer Global Asset Management after saying the $3.7bn price was too high. A deal of that size would have been “too much of a stretch” for Aberdeen’s balance sheet, Gilbert said.
The CEO has been buying up smaller businesses including FLAG Capital Management and Arden Asset Management to help diversify away from emerging markets, which have seen steady outflows for more than two years. Henderson’s $2.6bn merger with Janus underscores the challenges that investment firms face in dealing with rising regulatory costs and growing pressure on fees from passive funds.
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