One River Acquires LGT Quant Team
One River Asset Management has acquired LGT Capital Partners' quantitative investment solutions team and strategies. The deal brings over $900 million in additional assets under management and two established systematic strategies to One River's platform. The acquisition will expand the firm's capabilities with a world-class team in quantitative finance.
- The acquisition will increase One River's total assets under management by approximately a third, bringing the firm to about $3 billion. - The two systematic strategies acquired will be renamed "One River Dynamic Protection" and "One River Systematic Macro". The former is a long volatility strategy with a track record of over 11 years, while the latter is a multi-asset macro strategy with a history of nearly 10 years. - The eight-person LGT team will now operate as One River Switzerland AG, establishing the Connecticut-based hedge fund's first physical presence in Europe. - LGT Capital Partners will continue to be a significant investor in both of the strategies after the transfer. - This deal reflects a larger trend of consolidation among alternative asset managers who are seeking to gain scale to cover the rising costs of technology, data, and infrastructure. - The move is part of a growing popularity in systematic investing, which utilizes rules-based models for trading, driven by technological advancements and a search for consistent returns. - One River Asset Management was founded in 2013 by Eric Peters, who serves as the company's CEO and CIO.
