La Banque Postale announced yesterday that it has finalised the acquisition by LBP AM of La Financière de l’Échiquier (LFDE), one of France’s leading entrepreneurial asset management companies. As such, LFDE is now wholly owned by LBP AM. The transaction, which has been approved by the Autorité des Marchés Financiers (AMF) and the Autorité de la concurrence (French competition authority), will create a major player in conviction-based management in France and Europe.
- With three recognised brands – LBP AM, Tocqueville Finance and LFDE – the new group is positioned as a European leader in multi-specialist conviction-based management and sustainable finance. At the end of December 2022, it had consolidated assets under management of €67 billion.
- It will offer its clients an extensive range of products covering a broad spectrum of listed and unlisted assets, combining financial and non-financial performance.
- Thanks to the support of its long-term shareholders, La Banque Postale and Aegon Asset Management, the new group will be able to implement an ambitious growth strategy driven by a strong commitment to investment and capitalising on the teams already in place.
Ambitious growth strategy
With a total of €67 billion in assets under management at the end of 2022 and three recognised brands – LBP AM, Tocqueville Finance and LFDE – the new group is a European leader in conviction-based management and sustainable finance in Europe.
The range has been considerably enhanced by the complementary nature of our strategies, making it possible to offer all types of clients an extensive range of open-ended products and dedicated solutions covering both listed assets (equities, multi-assets, absolute return) and unlisted assets (debt – infrastructure, corporate and real estate – and private equity).
The new group stands out for its market-leading expertise in sustainable finance, based on complementary tools and methodological approaches. The offer includes a wide range of SRI and impact products, providing tailored solutions to clients’ specific ESG needs.
The aim of this bold project is to accelerate distribution to institutional, wholesale, private and IFA clients. The development strategy will be based on the distribution channels of the three entities in France and the influence LFDE has established in Europe – in Germany, Austria, Belgium, Luxembourg, Switzerland, Italy, Spain and Portugal.
Thanks to the support of LBP AM shareholders La Banque Postale and Aegon Asset Management, this major project will benefit from long-term commitment and resources that will enable it to meet the challenges of the asset management industry and deliver robust long-term growth.
Prospective merger between Tocqueville Finance and LFDE in 2024
The many complementary features of Tocqueville Finance and LFDE are powerful growth drivers and are behind the prospective merger of Tocqueville Finance and LFDE, within LFDE, at the beginning of 2024.
The merger* will create a leading conviction-based asset manager active in high value-added equity strategies across all market segments, with some 50 managers and analysts under the direction of the respective CIOs of LFDE and Tocqueville Finance. The team will be one of the largest in the Paris market.
While benefiting from a shared DNA – innovation, agility and commitment to sustainable finance – the “new LFDE” formed in this way will leverage the distinctive strengths of each of the entities and offer its clients a range of strategies and styles with a rare depth in the field of conviction-based management in equities.
Emmanuelle Mourey, Chairwoman of the Executive Board of LBP AM, said: “This acquisition is in line with LBP AM’s strategic objective of accelerating its growth in France and Europe by offering conviction-based management across the entire spectrum of listed and unlisted assets and maintaining its lead in sustainable finance. The entrepreneurial approach that underpins LFDE’s identity as a client-focused asset management boutique will complement the impressive commercial momentum demonstrated by LBP AM and Tocqueville Finance in recent years.”
Bettina Ducat, Chief Executive Officer of LFDE, said: “The transformation of LFDE marks a change of dimension. The new partners will bring our company’s conviction-based management additional strengths to nurture its entrepreneurial spirit. This major project, which is now taking shape with LBP AM and its shareholders, will also enable us to consolidate our ESG expertise. This combination of expertise with Tocqueville Finance creates a European champion fully capable of meeting the challenges of an asset management industry with strong growth potential, particularly in sustainable finance. ”
Philippe Heim, Chairman of the Board of Directors of La Banque Postale, said: “The acquisition of La Financière de l’Échiquier will consolidate our asset management platform around LBP AM, which is our Group’s core business, to accelerate its growth in France and internationally. Following the acquisition of 100% of CNP Assurances in June 2022, this new transaction demonstrates the transformation and accelerated diversification of the La Banque Postale group, one of the new leaders in bancassurance in Europe. The combined strengths of LBP AM, Tocqueville Finance and LFDE, thanks to the complementary business and geographical expertise of the teams, will create a leader in conviction-based management and sustainable finance in Europe.”.
Stéphane Vidal, Chair of the Primonial Group, said: “A page is turning for Financière de l’Échiquier, which, after five years of fruitful collaboration with the Primonial Group, is joining the La Banque Postale group. Primonial will remain linked to LFDE through its current commercial partnerships. I’m delighted to see this fine company continuing to grow within an industrial ecosystem even more conducive to its development. We are all extremely proud of the road we have travelled together, and the employees of the Primonial Group join me in thanking the management and teams of LFDE and wishing them all the best for the future.”
