The Guardian Life Insurance Co. is buying a majority interest in RS Investments of San Francisco, a privately held investment management firm with $11.8 billion in assets specializing in growth and value mutual funds and institutional accounts.
The New York-based insurer will acquire a 65% interest in the company that has long been known for its independent spirit.
"We want RS to retain the swashbuckling, entrepreneurial culture that enables it to attract talent," said Dennis Manning, chief executive of Guardian.
Succession-planning issues largely drove the sale of RS to an insurance company, according to chief executive Terry Otton who helped found the firm in 1986.
"To perpetuate our legacy, we had to [address] generational considerations," he said.