Case Study #4: Integration of Managed Account Platforms Following Merger

Client needed help in integrating the separate account management businesses resulting from a merger. The client sought to hire a consultant to assist in 1) determining the optimal number of sponsor relationships to maintain post-integration; 2) leading the operational conversion process; and 3) documenting the process to facilitate the addition of new sponsors in the future.

Action Steps:

  • Determining the optimal number of sponsor relationships post-integration: The firm being acquired had a larger number of smaller sponsor relationships which posed integration and operational issues. A comparison grid of all existing sponsors was developed, including potential size of relationship and anticipated operational and marketing support provided.
  • Operational conversion process: Working with members of the operations, compliance, IT and marketing departments, a project plan was developed which encompassed all necessary elements of the conversion, including co-dependencies and estimated timelines for completion.
  • Documentation of new sponsor relationships: All of the above pieces of the conversion process were combined and documented so that the process of adding new sponsor firms would become repeatable and efficient.

Consensus was reached to reduce the overall number of sponsor relationships. All of the conversions were completed successfully and on time. Once the operational requirements were defined, the conversion timeline was created to match the operational capabilities of the firm. The operations and trading areas were able to successfully accommodate the new business. The process for adding new sponsor relationships is now fully documented, including timeline and staffing recommendations and communication, compliance and operational protocol.


Go back