Mesirow Financial Holdings Inc. announced Thursday its acquisition of the retirement plan-level 3(38) business of flexPATH Strategies LLC, a provider of outsourced fiduciary and custom portfolio construction solutions for retirement plans.
The acquisition expands Mesirow Fiduciary Solutions, a platform that offers outsourced fiduciary services, including 3(38) custom portfolio construction, 3(21) and 3(38) investment lineup services, ERISA fiduciary services, investment due diligence, reporting and custom default solutions for retirement plans, health savings accounts and individual retirement accounts.
“By combining flexPATH’s established custom portfolio business with Mesirow’s institutional scale, technology infrastructure and fiduciary expertise, we are further enhancing our ability to deliver differentiated retirement solutions,” said Michael Annin, president of Mesirow Fiduciary Solutions, in a statement. “This transaction expands our reach within the discretionary custom portfolio market and reinforces our longstanding commitment to helping advisors and plan sponsors achieve better participant outcomes.”
In May, Mesirow acquired LeafHouse Financial Advisors LLC, including the FlexFiduciary and InvestBuild business lines, from investment solutions provider LeafHouse Financial Group LLC. LeafHouse’s advisory business was incorporated into Mesirow Fiduciary Solutions, adding about $23 billion in assets under management and advisement.
Last November, flexPATH sold its sub-advisory business assets to Great Gray Group. The assets were related to collective investment trusts for which Great Gray Trust Co. served as trustee and flexPATH provided outsourced investment management services.
Currently, Mesirow Fiduciary Solutions supports nearly 10,000 financial advisers and oversees approximately $164 billion in assets under management and advisement.
