8-KOther Events

AFFILIATED MANAGERS GROUP, INC. 8-K Report (Aug 28, 2002)

Filed August 28, 2002For Securities:AMGMGRBMGRMGRDMGRE

Summary

Affiliated Managers Group, Inc. (AMG) announced on August 8, 2002, the completion of its investment in Third Avenue Management. AMG acquired a 60% interest in Third Avenue Management, a New York-based firm known for its "deep value" investment approach across equities, real estate, and corporate debt. The remaining 40% is held by Third Avenue's management team, who will continue to lead its operations. This acquisition aligns with AMG's strategy of investing in mid-sized investment management firms and fostering their growth through both internal expansion and new acquisitions. AMG's model allows the management teams of its acquired affiliates to retain significant equity and operational autonomy, while benefiting from AMG's centralized support in areas like marketing, distribution, and product development. This transaction represents a significant expansion for AMG into value-oriented mutual fund advisory and separate account management.

Key Highlights

  • 1AMG has completed a 60% acquisition of Third Avenue Management, a well-regarded investment firm.
  • 2Third Avenue Management specializes in a 'deep value' investment strategy across various asset classes.
  • 3The existing management team of Third Avenue will retain a 40% stake and continue to manage the firm's operations.
  • 4This acquisition is a strategic move for AMG, supporting its growth strategy through investments in specialized asset management firms.
  • 5AMG's model emphasizes granting operational autonomy and significant equity ownership to the management teams of its affiliates.
  • 6Third Avenue Management advises a family of no-load value mutual funds and also manages separate accounts and sub-advises other funds.
  • 7The filing of this press release via Form 8-K is for informational purposes and does not establish a precedent for future filings.

Frequently Asked Questions

Third Avenue Management is an investment advisory firm based in New York. It advises the Third Avenue family of no-load value mutual funds, serves as a sub-adviser to non-proprietary mutual funds and annuities, and manages separate accounts for high net worth individuals and institutions. Their investment philosophy centers on a 'deep value' approach to equities, real estate, and corporate debt securities.

AMG has acquired a 60% equity interest in Third Avenue Management. AMG is an asset management company that invests in a diverse group of mid-sized investment management firms. Their strategy involves supporting the growth of these affiliates by providing centralized assistance in areas such as strategic matters, marketing, distribution, product development, and operations, while allowing the affiliates' management teams to retain operating autonomy and significant ownership.

Yes, the current management team of Third Avenue Management will continue to oversee the operations of the firm. They have retained a 40% ownership stake in the business, aligning their interests with AMG's investment.

This acquisition represents a strategic expansion for AMG into the value-oriented investment management space. By acquiring a majority stake in Third Avenue Management, AMG gains access to a respected investment team and a distinct investment strategy, furthering AMG's goal of diversifying its portfolio of specialized asset management affiliates and driving growth through both internal expansion and strategic investments.