London, 12th December 2022 – Stanhope Capital Group (“Stanhope Capital”), one of the world’s leading independent global wealth management firms, and Arche Associates (“Arche”), the premier multi-family office in Luxembourg, today have announced that they have entered into a definitive merger agreement. The combined company will oversee close to USD 29 billion and employ approximately 160 people across 8 offices worldwide.
In addition to expanding the group’s geographic footprint, the merger will enable clients of both firms to benefit from an enhanced global investment team with strong capabilities across all asset classes, including equities, fixed income, hedge funds, private equity and real estate. Upon closing of the transaction, Stanhope Capital and Arche will operate as a single company for all intents and purposes, particularly in the area of investment research and strategy.
Founded in 2004 by Daniel Pinto, Stanhope Capital currently oversees approximately USD 26 billion for private clients, endowments, charities and other institutions across the globe. The firm, which employs 140 people from its offices in London, Geneva, Paris, New York, Philadelphia, Palm Beach and Boston, is active in wealth management, investment consulting, private investments and merchant banking. In 2021, Stanhope Capital merged with US based FWM Holdings, a company founded and led by Keith Bloomfield. As a result of this merger, the group now owns wealth manager Forbes Family Trust and pioneer alternative assets specialist Optima Fund Management, founded by Dixon Boardman in the ‘80s.
Founded in 2012 by Frederic Otto, Rudy Paulet and Franck Payrar, Arche currently oversees approximately USD 2.5 billion for high-net-worth families and employs 20 people in Luxembourg. The firm offers wealth management and family office services, and was the first entity in Luxembourg to be approved by the Ministry of Finance under the regulatory “family office” regime. The firm also has a private investment platform focused on real estate investments, particularly in Canada. Prior to founding Arche, Frederic Otto was CEO of Banque Privée Edmond de Rothschild Europe for 15 years. Rudy Paulet and Franck Payrar worked with him at Rothschild, respectively as Head of Private Banking & Family Office and Head of multi-asset class mandates/Chief Investment Strategist.
Pursuant to the merger agreement, Frederic Otto, Rudy Paulet and Franck Payrar will all become shareholders in Stanhope Capital Group and carry on with their respective senior management functions. Frederic Otto will be Chairman of Arche Associates and will join the board of Stanhope Capital Group as Vice-Chairman. Rudy Paulet will continue as Head of Arche’s Family Office Services unit and Franck Payrar as Head of Arche’s Wealth Management unit.
Daniel Pinto, Chairman and CEO of Stanhope Capital Group, said “We are delighted to welcome Frederic, Rudy, Franck and their colleagues to the Stanhope Capital family. Luxembourg is one of the most important financial centers in Europe and Arche is certainly a brilliant example of what a dynamic and innovative player can accomplish in this fast-growing market. We have known and admired Arche for many years and share the same client-centric values. In both firms, our independence gives clients the assurance of conflict-free advice provided by true fiduciaries. We also pride ourselves on being properly aligned with clients in that many of our talented professionals invest their personal wealth alongside them, a rare thing in our industry today. We very much look forward to pursuing our entrepreneurial journey together, for the greater benefit of our clients and employees worldwide.”
Frederic Otto added: “At Arche, we are all excited about joining forces with Daniel and the team at Stanhope Capital. Of paramount importance to us is the fact that this merger will enable us to further enhance the service we offer our clients. In the current environment, portfolios must be properly diversified across regions and across asset classes, both liquid and illiquid. Stanhope’s global presence and depth of expertise in traditional asset classes but also in private equity, real estate and hedge funds is highly complementary with our skill set and capabilities. The cultural and investment fit between the two businesses are truly exceptional. It will be a pleasure and honor to write a new page in the history of our company alongside a group of Stanhope’s quality and reputation.”
The merger is subject to customary closing conditions. Financial and legal terms of the transaction will not be disclosed.
ENDS
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About Stanhope Capital Group
Founded in 2004 by Daniel Pinto, Stanhope Capital currently oversees approximately USD 26 billion for private clients, endowments, charities and other institutions across the globe. The firm, which employs 140 people from its offices in London, Geneva, Paris, New York, Philadelphia, Palm Beach and Boston, is active in wealth management, investment consulting, private investments and merchant banking. In 2021, Stanhope Capital merged with US based FWM Holdings, a company founded and led by Keith Bloomfield. As a result of this merger, the group now owns wealth manager Forbes Family Trust and pioneer alternative assets specialist Optima Fund Management.
About Arche Associates
Founded in 2012 by Frederic Otto, Rudy Paulet and Franck Payrar, Arche currently oversees approximately USD 2.5 billion for high-net-worth families and employs 20 people in Luxembourg. The firm offers wealth management and family office services (Arche was the first entity in Luxembourg to be approved by the Ministry of Finance under the regulatory “family office” regime). The firm also has a private investment platform focused on real estate investments, particularly in Canada. Prior to founding Arche, Frederic Otto was CEO of Banque Privée Edmond de Rothschild Europe for 15 years. Rudy Paulet and Franck Payrar worked with him at Rothschild’s, respectively as Head of Private Banking & Family Office and Head of multi-asset class mandates/Chief Investment Strategist.