Pathstone, an independently operated, partner-owned advisory firm headquartered in Englewood, N.J., has acquired Cornerstone Capital Group, a New York City-based registered investment advisor with $2 billion in assets under management, the companies announced today in a news release.
Financial details of the transaction were not disclosed.
According to Matthew Fleissig, president of Pathstone, Cornerstone's expertise in sustainable and impact investing will enhance Pathstone's existing efforts to incorporate these components of portfolio construction, while Cornerstone clients will benefit from Pathstone's broad range of services and its technology platform.
"Pathstone is extremely proud of our long history of leadership and innovation in Impact and ESG," he said. "We believe that by empowering clients to amplify the impact of their investments and aligning their goals with their values, clients can enhance returns and foster positive impact."
Both firms share a similar culture and historical mission in service to their clients, the news release reported. Each was established by veterans of large financial institutions who sought to bring new and innovative ideas to market, supported by a diverse staff of dedicated professionals, and both firms are committed to integrating customized financial and impact objectives in client portfolios.
"The depth and laser focus of Cornerstone, together with the scale and strength of Pathstone, now creates the preeminent Impact Investment Advisory platform in the field," Cornerstone founder and CEO Erika Karp said in the news release. "With the mission of achieving a more regenerative and inclusive form of capitalism, we go from strength to strength."
Morrison & Foerster served as legal counsel for Cornerstone. Nesvold Capital Partners (NCP), a New York City-based merchant bank specializing in the financial services industry, served as financial advisor to Pathstone, and Alston & Bird LLP as legal counsel.
Pathstone, serving families, family offices, and select nonprofit institutions, now has offices in 13 cities and nearly $25 billion in total advisory assets.