GAM Holdings, the Zurich-listed firm catering to clients such as high net worth individuals, is set to acquire specialist US mortgage-backed securities business Singleterry Mansley Asset Management.

GAM Holdings, the Zurich-listed firm catering to clients such as high net worth individuals, is set to acquire specialist US mortgage-backed securities business Singleterry Mansley Asset Management.

As part of the deal, the founders of Singleterry - Gary Singleterry and Tom Mansley - along with their team, will join GAM's New York office.

Subject to client consent, all of the company’s $397 million assets under management and its client relationships will be transferred to GAM.

GAM said in a statement that the team will add a “specialist skillset” to GAM Holding's existing $17 billion unconstrained bond strategy and offer investors a new source of attractive risk-adjusted returns.

Singleterry Mansley’s offshore fund, launched in 2009, will be distributed under the GAM brand. In addition, in the coming quarter the group plans to launch a new dedicated GAM-branded UCITS fund.

“Gary Singleterry and Tom Mansley are enormously experienced and successful investors – their ability to navigate the severe market stress in 2007/2008 and produce strong positive returns speaks for itself. In particular, they share our Group’s commitment to a disciplined investment process based on deep analysis, combined with unconventional thinking.” said David Solo, group CEO of GAM.

The acquisition, structured as an asset purchase, is expected to be completed this month.

Singleterry Mansley Asset Management was founded in 2002 and specializes in the evaluation and selection of complex mortgage and asset-backed securities based on analysis of macroeconomics, yield curves and underlying collateral structures.