Brussels-headquartered firm Candriam has unveiled a strategic partnership with private equity real estate manager Tristan Capital Partners.
The first move of Candriam into the real estate field translates into the acquisition of a 40% stake in Tristan by the Belgian manager, with an option to further increase it.
Hence Candriam adds real estate to its offering in order to meet strong institutional investor demand for the asset class.
Tristan has €9.1bn of assets under management and seize private equity real estate opportunities across Europe. AUM.
The boutique has an 18-year track record, with total investments approaching €15bn. It will retain its existing management and investment autonomy while benefiting Candriam and New York Life’s operating resources.
Commenting on the partnership, Yie-Hsin Hung, CEO of New York Life Investment Management, said: “We are fully supportive of Candriam’s expansion into the real estate market with Tristan Capital Partners. The boutiques within our growing global asset management business offer a powerful, diverse range of insights and differentiated strategies to our clients, and this strategic partnership further demonstrates our commitment to expanding our alternatives capabilities.”
Naïm Abou-Jaoudé, CEO of Candriam and chairman of New York Life Investment Management International, commented: “As we grow our investment offerings and operations in Europe, we continue to seek strategic relationships and acquire complementary capabilities. Tristan Capital Partners is a true expert real estate manager. They have built an impressive track record and a strong and loyal client portfolio.
“Both our firms share the same values and strong corporate culture that have shaped our respective success. I am convinced that this strategic partnership will allow Tristan to further accelerate growth and capitalise on the growing demand for real estate investments.”
Ric Lewis, chairman and co-CEO of Tristan Capital Partners, added: “Through the strategic partnership with Candriam, we will be in an even stronger position to pursue our current and future business plan and to offer more attractive opportunities, products and strategies to our existing and future clients.
“With its complementary multi-specialist model, Candriam provides an excellent strategic fit and an opportunity to combine our specialist European market knowledge with a leading global investment platform.
“Candriam and New York Life are strong partners for Tristan, our clients and our future growth. Their culture of investment management excellence and commitment to exemplary investment performance, client service and the development of new strategies and capabilities to serve clients’ emerging needs were the factors that ultimately led to this strategic partnership.”
Candriam had €112bn of AUM as of 31 December 2017.