CapitalatWork is investigating the possibility of making small acquisitions in the Netherlands. The Belgian asset manager states it already has sufficient critical mass in its home market and the Luxembourg market, but is also looking at acquisition opportunities there.
This according to CEO Maarten Rooijakkers and CIO Erwin Deseyn (photo) of CapitalatWork in an interview with Investment Officer.
The asset manager seeks growth by attracting experienced private bankers who often form a small office, in addition to external growth through the acquisition of other asset managers. ‘We have the advantage that our shareholder has both the financial strength and the interest to take over other parties,’ says Rooijakkers, referring to parent company Foyer, a Luxembourg insurance group.
‘But that’s easier said than done, because an acquisition must also make sense. Takeover talks have already taken place in Belgium, the Netherlands and Luxembourg. But there has to be a good match with both the corporate culture and the business model.’
Benelux as a single market
Deseyn sees the Benelux market as one and the same market, with only the marketing and communication plan differing per country. ‘There’s an integrated group strategy, but it’s obvious that we’re localising it. But the essence of what we do – the customer portfolios – are the same for the three countries. The investment strategy is managed centrally, because we’re also convinced that our approach is sufficiently universal.’
Rooijakkers adds that this approach developed historically, since CapitalatWork ‘quickly saw opportunities and entered into partnerships’ in these three countries. ‘We were also active in Spain and Switzerland, but after the acquisition by Foyer, we decided to refocus our growth efforts in the Benelux market.’
Clear focus
According to CEO Rooijakkers, small players can only survive if they have a clear focus. ‘Large asset managers without a clear focus will more quickly be absorbed into a different group than small specialised companies.’
CapitalatWork took that step a while back, by focusing on discretionary management following a specific investment strategy in listed shares, bonds and liquidities. Rooijakkers: ‘There’s a lot that we don’t do. Our portfolio doesn’t include hedge funds, private equities, structured products and commodities. A focus on such products would impact our organisational structure dramatically.’