Rydex-SGI merger to create $21 billion firm

The two money management operations have been divisions of the same parent company since last January when Rydex of Rockville, Md., was acquired by Security Benefit Corp. of Topeka, Kan.
JAN 15, 2009
By  Bloomberg
Rydex Investments is being merged with Security Global Investors of New York to create a combined investment firm with $21 billion under management. The two money management operations have been divisions of the same parent company since last January when Rydex of Rockville, Md., was acquired by Security Benefit Corp. of Topeka, Kan. The announcement yesterday also named Richard Goldman chief executive of the combined asset management firm, effective immediately. Carl Verboncoeur, was the CEO of Rydex, is an executive adviser at the company. While the asset management division has already undergone some consolidation under the SGI banner, the Rydex brand will continue as a quantitative fund product line geared primarily toward financial intermediaries and individual investors, according to Lori Klash Winkler, a Rydex spokeswoman. Earlier this week, Security Benefit announced that 120 people had been laid off, including 50 from the asset management businesses. “I don’t anticipate any more consolidation,” Mr. Goldman said. He described the Rydex alternative-investment strategies as a being “complimentary in nature to our other product competencies.” SGI, which is responsible for $9 billion of the total assets, has a global-equity-management office in San Francisco, a value-equity and fixed-income management office in Topeka, and a growth management team in Irvington, N.Y. “The integrated firm not only rounds out our products but also provides us with a wider distribution platform,” Mr. Goldman said.

Latest News

SEC charges barred ex-Merrill broker behind Bain Capital investment fraud
SEC charges barred ex-Merrill broker behind Bain Capital investment fraud

The Texas-based former advisor reportedly bilked clients out of millions of dollars, keeping them in the dark with doctored statements and a fake email domain.

Trump's tax bill passes senate in hard-fought victory for Republicans
Trump's tax bill passes senate in hard-fought victory for Republicans

The $3.3 trillion tax and spending cut package narrowly got through the upper house, with JD Vance casting the deciding vote to overrule three GOP holdouts.

Advisor moves: LPL adds ex-Osaic advisor in Fresno, RBC plants a new stake in Nashville
Advisor moves: LPL adds ex-Osaic advisor in Fresno, RBC plants a new stake in Nashville

Meanwhile, a Minnesota-based advisor from Edward Jones has found a new home within Osaic.

RIA news: Focus expands down under, Mercer welcomes women-led RIA
RIA news: Focus expands down under, Mercer welcomes women-led RIA

Meanwhile, Carson Group extends its acquisition strategy with a Maryland-based advisory practice.

'Independence Series': Staff up before taking off
'Independence Series': Staff up before taking off

Financial advisor Craig Robson shares the lessons he learned after leaving Merrill Lynch to set up his own practice in the fourth installment of InvestmentNews' new 'Independence Stories' series.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.