German investment consultant, GSC has ended its two-year joint venture with Swiss partner PPCmetrics after they failed to agree on strategy and services. As a result of the break-up, which GSC described as “friendly”, GSC’s sole owner Georg Seil will acquire the 49% stake PPCmetrics held in the venture.
Wiesbaden-based GSC says it would retain its name and that it would “continue to enjoy the very successful quantitative and qualitative growth of the last years”.
GSC has six consulting mandates from institutional clients who collectively have €10bn in assets.
GSC and PPCmetrics hooked up in October 2003. GSC, a second tier consultant, was known for its expertise in asset allocation advice and performance analysis, while PPCmetrics specialises in asset manager searches.
Seil says that the differences of opinion with PPCmetrics were mainly in two areas: controlling of asset managers and asset liability studies. “It was so difficult to explain to our Swiss partner that controlling of asset managers is not a service a German consultant typically provides.” he says.