Global wealth manager Stanhope Capital and Luxembourg-based multi-family office Arche Associates have agreed to merge businesses.
The deal, subject to customary conditions, will expand the companies’ global footprint. Once the transaction finalises, the two businesses will operate under a single company – which has not been named yet – managing around $29bn (£23bn, €27bn) in client assets with 160 members of staff and eight offices around the world.
Stanhope was founded in 2004 by Daniel Pinto and it currently manages $26bn on behalf of private clients, charities and institutions around the world. In 2021, the wealth manager also merged with US-based wealth firm FWM Holdings.
Arche was set up in 2012 by Frederic Otto, Rudy Paulet and Franck Payrar and oversees around $2.5bn for high net worth families.
As part of the deal, Otto, Paulet and Payrar will become shareholders in Stanhope Capital Group and carry on their respective senior management functions. Otto will become chairman of Arche Associates and vice-chairman of Stanhope Capital Group, while Paulet will continue as Arche’s head of family office services and Payrar as head of wealth management.
Daniel Pinto, chairman and chief executive of Stanhope Capital Group, said: “We are delighted to welcome Frederic, Rudy, Franck and their colleagues to the Stanhope Capital family. Luxembourg is one of the most important financial centres in Europe and Arche is certainly a brilliant example of what a dynamic and innovative player can accomplish in this fast-growing market.
Otto added: “Of paramount importance to us is the fact that this merger will enable us to further enhance the service we offer our clients. In the current environment, portfolios must be properly diversified across regions and across asset classes, both liquid and illiquid.
“Stanhope’s global presence and depth of expertise in traditional asset classes but also in private equity, real estate and hedge funds is highly complementary with our skill set and capabilities.”
