An European leader in conviction-based asset management is born: La Banque Postale AM Acquires La Financière de l’Échiquier.
6 JUL, 2023
La Banque Postale announces the completion of the acquisition, by LBP AM, of La Financière de l'Échiquier (LFDE), one of the leading entrepreneurial asset management firms in France. LBP AM now holds 100% of LFDE's capital. Following the transaction, approved by the Autorité des Marchés Financiers and the Autorité de la Concurrence, a key player in conviction-based asset management is born in France and Europe.
- With its three recognized brands - LBP AM, Tocqueville Finance, and LFDE - the new group positions itself as a European leader in multi-specialist conviction-based management and sustainable finance. The consolidated assets under management amount to €67 billion as of December 2022.
- It will offer its clients an extensive range of products covering a wide spectrum of listed and non-listed assets, combining financial and extra-financial performance.
- With the support of long-term shareholders La Banque Postale and Aegon Asset Management, the new entity will implement an ambitious development strategy based on a strong commitment to investment and the expertise of the current teams.
An ambitious growth strategy
With a total assets under management of €67 billion by the end of 2022 and three recognized brands - LBP AM, Tocqueville Finance, and LFDE - the new entity solidifies its position as a leader in conviction-based management and sustainable finance in Europe.
The complementary nature of the strategies will contribute to a substantial enrichment of the range available to all types of clients: open products and dedicated solutions for both listed assets (equities, multi-asset, total return fixed income) and unlisted assets (infrastructure, corporate and real estate debt, and private equity).
The new entity stands out with notable expertise in sustainable finance, based on complementary tools and methodological approaches. The offering consists of a wide range of SRI (Socially Responsible Investing) and impact products to provide tailored solutions that meet the specific ESG (Environmental, Social, and Governance) needs of clients.
This project aims to accelerate distribution among institutional clients, wholesale, financial advisors, and private individuals. This development strategy will leverage the distribution channels of the three entities in France and the established presence of LFDE in Europe - Germany, Austria, Belgium, Luxembourg, Switzerland, Italy, Spain, and Portugal.
Thanks to the support of La Banque Postale and Aegon Asset Management - shareholders of LBP AM - this significant project will benefit from long-term commitment and resources to address the challenges of the asset management industry and ensure sustainable growth over time
Merger Project between Tocqueville Finance and LFDE in 2024
The multiple complementarities between Tocqueville Finance and LFDE represent powerful growth drivers, leading to the envisaged merger of Tocqueville Finance into LFDE at the beginning of 2024.
The operation will create a prominent player in conviction-based management, focusing on high-value-added equity strategies across all market segments, with around fifty managers and analysts under the leadership of LFDE and Tocqueville Finance's respective CIOs. This team will become one of the largest on the Paris financial scene.
Benefiting from a shared DNA of innovation, agility, and commitment to sustainable finance, the newly formed "LFDE" will leverage the distinctive strengths of each entity and offer its clients a range of strategies and styles with exceptional depth in the field of conviction-based equity management.
Emmanuelle Mourey, Chair of the Management Board of LPM AM, explained, 'This acquisition achieves LBP AM's strategic objective of accelerating its growth in France and Europe, offering conviction-based management across the entire spectrum of listed and non-listed assets, while maintaining its advantage in the field of sustainable finance. LFDE's entrepreneurial approach, rooted in a client-focused boutique management identity, will complement the strong commercial momentum demonstrated by LBP AM and Tocqueville Finance in recent years."
Bettina Ducat, CEO of LFDE, stated, 'This transformation of LFDE marks a significant shift in scale. The conviction-based management of our company will benefit from additional strength to fuel its entrepreneurial spirit. This broad-ranging project, which is materializing today with LBP AM and its shareholders, will also allow us to consolidate our ESG expertise. The combination of expertise with Tocqueville Finance will give rise to a European champion fully capable of meeting the challenges of an asset management industry that demonstrates strong growth potential, particularly in sustainable finance.
Philippe Heim, Chairman of the Management Board of La Banque Postale, stated, 'The acquisition of La Financière de l'Échiquier strengthens our wealth management platform, the core business of our Group, to accelerate its growth in France and abroad. Following the acquisition of 100% of the capital of CNP Assurances in June 2022, this new transaction illustrates the transformation and acceleration of the diversification of the La Banque Postale Group, one of the new leaders in bancassurance in Europe. With complementary expertise in different businesses and geographies within the teams, the combination of forces between LBP AM, Tocqueville Finance, and LFDE will give rise to a leader in conviction-based management and sustainable finance in Europe.'
