Assirt sold to S&P
The St George Bank has ended month’s of speculation, announcing that it had sold its investment research arm, Assirt, to international ratings agency Standard & Poors (S&P).
The two groups announced the deal - which involves the managed fund data and research businesses of Assirt - in a joint statement this afternoon.
The terms of the deal were not disclosed. However, the bank’s wealth management divisions, including Sealcorp and the Securitor dealer group, will take research and fund ratings from S&P after the sale as part of the arrangement between the two groups.
The Assirt ratings business will continue to operate under its own brand for a transition period immediately after the sale closes on February 18.
S&P’s funds management ratings business will be phased out.
S&P has made no secret of its intention to build its retail investment research business in Australia.
However, despite speculation, the group had consistently denied that it was actively bidding for Assirt.
S&P managing director Chris Dalton said in a statement this afternoon the group would consult Assirt clients before making any changes to the research business.
Assirt has had an unsettled history within St George since the bank acquired the business with its purchase of Sealcorp in the early 1990s. It was initially spun out to operate in a separate business entity to Sealcorp, before being wound back into the group. In 2003, the research house was taken out of the Sealcorp fold for a second time to operate under the St George bank’s own investments and insurance arm.
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