Franklin Resources Acquires O’Shaughnessy Asset Management
Posted on 09/30/2021
Franklin Resources, Inc., a global investment management organization operating as Franklin Templeton, inked a deal to acquire Stamford, CT-based O’Shaughnessy Asset Management, LLC (OSAM), a quantitative asset management firm. Through this acquisition, Franklin Templeton adds to its offerings in the high growth separately managed account (SMA) industry, where it is already one of the largest providers with US$ 130 billion in SMA assets under management as of August 31, 2021. OSAM’s capabilities, both as a factor-based investment manager and as a Custom Indexing solution via OSAM’s flagship Canvas platform, will serve as an important expansion and enhancement of Franklin Templeton’s existing strengths in SMA and custom solutions capabilities. The Canvas platform launched in late 2019 and has seen strong growth since its inception, now representing US $1.8 billion of OSAM’s total US$ 6.4 billion in assets under management as of August 31, 2021.
Custom Indexing represents a significant area of growth in asset management today, and Canvas allows financial advisors to build and manage Custom Indexes in SMAs that are individually tailored to the client’s specific needs, preferences, and objectives. The transaction is subject to customary closing conditions and expected to close in the fourth quarter of calendar year 2021.
