Tatton Asset Management bolsters investments offering with £7m 8AM tie-up

Asset manager Tatton announced it had completed its tie-up with fund manager 8AM Global for £7m today, as it looks to bolster its investment offering and capitalise on four months of steady inflows this year.

London-headquartered Tatton, which manages around £11.2bn, said it had acquired a 50 per cent stake in 8AM through a deal which offers the opportunity to snap up the remaining 50 per cent of the firm in “due course”.

Tatton is now expecting 8AM to generate around £700,000 worth of profits in the first full year of ownership through the £800m worth of assets it has under its control.

Tatton boss Paul Hogarth said today the acquisition would bolster its investment offer as the firms move forward.

“I am delighted to announce the completion of the acquisition of 50% of the share capital of 8AM Global Limited, an ambitious and growing DFM MPS (risk-profiled model portfolio) business,” he said.

“The business complements Tatton’s existing core MPS offering which has continued to see strong net inflows over the first four months of this financial year.”

Hampshire-headquartered 8AM specializes in developing “risk-profiled model portfolios” that see it compile portfolios of investments that aim to deliver returns based on investors’ willingness for risk.

In taking over 8AM, Tatton aims to build on its current offerings by expanding its range of risk-profiled investments using the Hampshire firm’s experience and expertise.

Shares in Tatton fell 1.7 per cent yesterday following the announcement of the tie-up