Kudu Investment Management LLC, a permanent capital investor firm headquartered in New York City, has acquired a minority passive interest in GenTrust, an employee-owned SEC-registered investment advisor (RIA) based in Miami, the company said today.
"Kudu is our ideal partner,” Jim Besaw, Gentrust founding principal and CIO, said in a news release. “They immediately understood our dedication to providing best-in-class investment management to our clients. We're thrilled to have their support.”
Besaw said that his firm got its start providing investment advice to hedge fund principals and expanded to serve other investment firms. “Kudu recognizes that the institutional-quality investment expertise we deliver to these clients has broad appeal and differentiates us in this hypercompetitive industry,” he also said in the news release.
Founded in 2011, GenTrust and its affiliates manage approximately $3 billion in assets for a global clientele of ultra-high-net-worth families, institutions, and other RIAs. The firm has 33 employees, and offices in Miami, New York City, and San Juan, P.R.
George Perez, GenTrust founding principal, also commented on the Kudu investment in his firm. He said that he and his team were excited to bring Kudu on board as an investor in their business.
"This partnership supports our commitment to being our clients' most trusted adviser, while providing us with the strategic and financial resources to accelerate both organic and inorganic growth," he said.
Since 2018, Kudu has acquired minority stakes in 19 asset and wealth managers headquartered in the U.S., Canada, U.K., and Australia. Kudu-affiliated asset and wealth managers now collectively invest more than $70 billion on behalf of individual and institutional investors worldwide in traditional and alternative strategies and market segments.
Founded in 2015, Kudu has raised more than $800 million to-date in equity and debt capital from White Mountains Insurance Group, Ltd. and Massachusetts Mutual Life Insurance Company (MassMutual) – funding that the firm continues to invest in businesses such as GenTrust, according to Charlie Ruffel, Kudu managing partner.
"GenTrust has a distinct and innovative approach to investment management," Ruffel said in the news release. "We saw the opportunity to invest alongside the GenTrust team and support its continued growth as utterly compelling."
Financial details of the transactioin were not disclosed. Seward & Kissel LLP served as legal adviser to GenTrust and Kudu.