People’s Securities Inc., a subsidiary of People's United Bank N.A., will acquire Gerstein Fisher, a $3 billion investment management firm based in New York City, expanding the bank's presence in New York, People’s United Bank announced Thursday.
Gerstein Fisher serves individuals and families, institutions and third-party platforms. The transaction is expected to bring People's United Wealth Management's total assets under administration to nearly $20 billion, of which about $8 billion is under discretionary management, according to the bank.
"Gerstein Fisher's well-known quantitative investment approach and scalable technology-enabled platform will build upon the excellent range of investment solutions offered by People's United," Jack Barnes, president and CEO, said in a prepared statement. "The transaction supports recent strategic investments in our fee income businesses and strengthens our New York franchise.”
The quantitative "Multi-Factor" approach, which Gerstein Fisher uses to structure portfolios, overweights the factors that academic research has identified as having the potential to deliver enhanced returns.
Gregg S. Fisher, Gerstein Fisher's founder and CIO, will join People's United as head of quantitative research and portfolio strategy. Terms of the deal were not announced. People’s United Bank is a community-based regional bank with branches throughout the Northeast. It wil continue to operate under its own name.
Terms of the transaction, which is expected to close during the fourth quarter, were not announced.