The deal is the second such transaction that New York Private Bank & Trust has announced in a matter of days.
New York Private Bank & Trust has bought a minority stake in Gerber|Taylor Capital Advisors, a firm with about $6.3 billion in assets. It comes days after it completed an acquisition in another wealth firm.
The transaction was made via NYPB&T’s subsidiary, Emigrant Partners. The terms of the disclosure were not disclosed.
Gerber|Taylor is a Memphis-based investment management firm, with offices in Charlottesville and Dallas.
“The partnership with Emigrant checks a lot of our boxes, none more important than our goal to remain independent and to continue as a sustainable, multi-generational firm,” Gerber Taylor’s president, Michael Douglass, said.
Gerber Taylor, founded in 1990, was represented by the Asset & Wealth Management Investment Banking group of Raymond James. WilmerHale served as Gerber Taylor’s legal counsel. Seward & Kissel served as Emigrant Partners’ legal counsel.
As previously reported, New York Private Bank & Trust this week completed its minority investment in Verdence Capital Advisors, a wealth management firm overseeing about $3 billion of assets, based near Baltimore.
The transaction is an example of a wider and busy mergers and acquisition trend in North American wealth management. DeVoe & Company, which tracks M&A deals in the RIA space, said earlier in July that there were 43 deals in the second quarter of this year, the fourth-largest deal-flow figure on record, following 58 transactions in Q1 and 48 in the final three months of 2020.
In recent months Canada’s CI Financial, US-based Mercer Advisors and CAPTRUST, among others, have been snapping up RIA businesses. A desire for scale comes with increased client and tech spending demands, coupled with some RIA owners’ wish to retire and seek exits. FWR has noted, meanwhile, that the mass of M&A activity seen among RIAs hasn’t yet been mirrored by comparable levels of transactions among multi-family offices. (See an interview here with wealth sector consultant Jamie McLaughlin, who went into detail as to why this is the case.)