The Africa-based non-traditional investment manager will bolster its fixed income business with the acquisition.

Ashburton Investments is to acquire Atlantic Asset Management, the Cape Town-based fixed income asset manager, for an undisclosed sum.

While Ashburton will absorb Atlantic’s funds, the mandates and teams will remain unchanged. Atlantic Asset Management's chief investment officer, Arno Lawrenz, will become head of fixed income portfolio management at Ashburton Investments.

The acquisition, details of which were not disclosed, will be effective in the new year. Heather Jackson, chief executive of Atlantic Specialised Finance, will work alongside Ashburton's alternatives capability, focusing on solutions across the non-profit, private and government sectors.

“Atlantic has some of South Africa’s best expertise in the traditional fixed income and money market space, as well as being pioneers in social impact investing,” said Ashburton Investments’ chief executive, Boshoff Grobler.

“We believe their entrepreneurial spirit and their investment philosophy is a perfect match for ours and that our combined experience consolidates Ashburton’s ability to offer clients a stand apart fixed income offering."

Ashburton Investments serves both individual and institutional investors as well as professional advisors. It had over $10 billion under management as of the end of June, with offices in South Africa, the UK, the Channel Islands and the United Arab Emirates.