Pensions insurer ASR is to take over the €5bn asset management branch of BNG, the bank for Dutch local councils – including BNG’s 10-strong team – for an undisclosed sum.
With the acquisition, ASR said it aimed to strengthen its position in the Dutch market for external asset management, focusing on the pensions industry, as well as the semi-public sector.
BNG Asset Management, as a full subsidiary of BNG, offers its services to industry-wide pension funds, as well as lower government, care and educational institutions, care insurers, housing corporations, utility companies and charities.
The asset manager offers tailor-made portfolios, investment funds and advice, with a focus on fixed income.
According to John Reichardt, CFO at BNG, asset management no longer fits within the bank’s core activities.
Chris Figee, ASR’s CFO, said the services and staff at BNG AM were a welcome addition to the company’s existing product range.
He described the acquisition as a “clear growth accelerator”.
ASR recently announced that it would establish a general APF pension fund, the new pensions vehicle that can accommodate various pension plans under a single, independent board.
Jack Julicher, CIO at ASR, said: “The combination of BNG Asset Management and ASR will make a strong asset manager for institutional clients, with a good balance between risk and return, as well as great attention to sustainability.”
ASR and BNG said they expected to complete the deal during the second quarter, pending regulatory approval.
As at the end of June, ASR had €42bn in assets under management.