Charles Schwab has acquired ThomasPartners, in a deal which includes a direct payment of $85m in cash and an option for additional payments, conditional on future growth in assets under management.
Schwab president and chief executive officer Walt Bettinger said the firm will offer its retail and investment advisor clients with convenient and cost effective access to ThomasPartners’ investment intelligence.
"Their approach to the construction of growth-oriented investment portfolios that generate dividend income streams makes enormous sense as our population ages, and will be an important addition to our existing money management line-up," Bettinger added.
The transaction is likely to complete during the first half of 2013, and soon after ThomasPartners’ portfolios will be available as part of its Managed Account Access service for investment advisors.
Headquartered in Wellesley, ThomasPartners is a growth and dividend income-focused asset management company with $2.2bn in asset under management (AUM), as of 30 November 2012.
The Charles Schwab manages over 300 offices and 8.7 million active brokerage accounts, 1.6 million corporate retirement plan participants, 857,000 banking accounts, and $1.92 trillion in client assets.
The company with its operating subsidiaries offers numerous securities brokerage, banking, money management and financial advisory services to individual investors and independent investment advisors.