City firm buys wealth manager
Tcam acquired by Seven Investment Management
Justin Urquhart Stewart: co-founded 7IM
Wealth management business Tcam, which was spun out of Edinburgh-based private client law firm Turcan Connell, is being acquired by Seven Investment Management 7IM.
The deal, which is expected to close by the end of July, will provide an exit for high-profile investors including Crispin Odey.
It will see the combined firm operating wholly under the 7IM brand by the end of this year and will have £13.6bn of assets under management (AUM), with offices in London, Edinburgh and Jersey.
Joint Tcam chief executives Alex Montgomery and Haig Bathgate will become partners in 7IM, and join its joint management committee. Several other senior staff members at Tcam will become partners.
London-based 7IM was created in 2002 by Tom Sheridan and former Barclays Stockbrokers executive Justin Urquhart Stewart, a well-known figure on television and radio.
It has offices in Edinburgh and Jersey, with 266 staff and current AUM of £12.5bn.
Mr Urquhart Stewart said his firm received a regular flow of potential opportunities but the Tcam deal was “too good to turn down.”
He said: “We said we were never going to acquire anyone, we were going to grow organically. But this one came along and then we changed our mind.”
He added: “With Alex and Haig, we saw the light in their eyes. Culturally they’re similar people, and they run money in the same way we do. It was a good fit.”
Mr Montgomery and Mr Bathgate led a management buyout of Turcan Connell Asset Management to create Tcam in 2015. It has 64 staff providing investment management to high net worth clients across the UK.
“Our two firms share a common mindset and the respect between us is considerable,” Mr Bathgate said.
“We believe we shall strengthen the investment proposition to both sets of clients by taking the best of both approaches, and we believe our clients will strongly benefit from 7IM’s greater research and risk management resource, not to mention the 7IM technology.”
Mr Montgomery added: “Haig and I recognise the tremendous market opportunities for our enlarged business. We have been growing well from our Edinburgh base and this combination provides us with greater scale, whilst the flexibility of the 7IM Platform allows us to enhance our service to clients and to support our employees.”
The Tcam MBO was backed by hedge fund manager Mr Odey. In its first full year as an independent firm to March 2017, it more than doubled profits to £1.68m.
Mr Sheridan, chief executive of 7IM, said the acquisition of Tcam will significantly strengthen the firm’s presence in Scotland.
“The combination of 7IM and Tcam is a great fit, both commercially and culturally,” he said.
“The two businesses have complementary strengths which will produce an improved investment service for our customers.
“I am delighted that Haig and Alex are joining the 7IM management team who, along with the wider Tcam team, will add to our active management expertise whilst the Tcam Private Office will be appealing to both 7IM’s intermediary and direct clients.”
Brewin Dolphin deal
Wealth manager Brewin Dolphin has acquired the financial planning and investment assets of Dundee business Clark Thomson MortgageFinders . The purchase price is not being disclosed.
It will see the addition of 150 clients.
The acquisition came about as a result of a longstanding professional relationship between David Hogg, one of the directors and owners of Clark Thomson Mortgagefinders and the head of Brewin Dolphin’s Dundee office, Ian MacDonald.
Mr Hogg, who will retire after 35 years in the business, said: “I was very keen to make sure I found the best local outlet for my clients and had no hesitation in recommending Brewin Dolphin to them. They are a financially strong company with a local presence. I had also known Ian [MacDonald] for many years and was confident the Dundee team would take good care of my clients.
“Being the only investment adviser at Clark Thomson MortgageFinders Ltd meant there were limited options for us, and so with three experienced financial planners in the Brewin Dolphin Dundee team, this means they can offer professional advice and a wider range of services.”
“As I am retiring, the acquisition does not involve taking on any employees, who will remain with Clark Thomson Mortgagefinders Limited, giving advice on mortgages and non-investment life insurance policies, which is headed up by owner/director Maureen Dye.”
Ian MacDonald, head of Brewin Dolphin’s Dundee office, said: “As people’s financial lives become more complex, and the economic climate more uncertain, we have seen an increasing need for trusted and expert advisers to take the strain from those who need help with their finances.
“We are keen to continue serving the financial needs of our local clients, with the strength and influence of the Brewin Dolphin name behind us.
He added: “I have known David Hogg for over 25 years and have every confidence that he ran a quality business. Our styles and philosophy are very similar, and I saw his clientele as being a good fit for us”.
Brewin Dolphin’s Dundee office was established in 1998 and currently has a team of 13 encompassing three fully-qualified financial planners, including new financial planner Blair Moffat, and three investment managers. The company also recently hired paraplanner Atif Khalid.