Nuveen Investments is to acquire a 60% stake in New York-based Gresham Investment Management LLC. With nearly USD14 billion of assets under management, Gresham was founded in 1992 by Dr Henry Jarecki, and is recognised a leading investment managers focused exclusively on portfolios providing investors access to a diversified array of commodities.
The addition of Gresham’s capabilities reinforces Nuveen Investments’ commitment to providing investors access to premier boutique asset managers. This partnership builds on an existing relationship between the two firms as Gresham currently serves as sub-advisor to the Nuveen Diversified Commodity Fund CFD -0.98%. Nuveen believes that Gresham’s focus on commodities represents a critical and growing component of the broader marketplace, and further complements the investment strategies offered through Nuveen Investments’ existing family of specialised and distinct money managers.
"We are very pleased to partner with Gresham in this meaningful way and look forward to sharing their leadership and innovation in this compelling asset class with our growing array of institutional and high-net-worth clients in the United States and abroad," says John Amboian, Nuveen Investments Chairman and CEO. "The addition of Gresham’s seasoned team will enhance our ability to better meet the long-term investment needs of clients seeking to enhance their exposure to commodities and to provide a measure of protection against inflation."
"Nuveen is an outstanding partner with which to continue the work we began with Gresham’s Tangible Asset Program 25 years ago," says Jarecki. "I am proud of the team we have built. They are experienced professionals with a proven record of success. I am glad this transaction will allow us to continue to provide value to our clients."
Maintaining a significant minority ownership stake in the firm, Gresham management and its investment team will continue to operate independently while leveraging the strengths of Nuveen Investments’ shared resources. The transaction, while subject to customary closing conditions, is expected to close by the end of the year. Nuveen was advised by UBS Investment Bank. Gresham was advised by Rothschild.