Compass Advisers Group, an international merchant banking partnership, has formed Compass Partners Asset Management, a principal investing arm focused on alternative investments.
Scott Marden has rejoined the firm as head of asset management from Credit Suisse and will become managing partner of the Compass Investment Partners Fund, a new middle-market private equity fund.
The firm has also hired several senior investment professionals who previously worked with Marden at Credit Suisse to serve as the core private equity team.
Stephen Waters (pictured), managing partner of Compass Advisers, says: "Asset management is a logical extension for our firm, especially at this rare inflection point in the market. Our differentiated sector focus and proven team combined with the deep relationships and global reach of Compass will position us to deliver superior returns to our investors."
Compass’ new private equity fund will target transactions in North America within the business and information services sectors, and will include businesses that aim to capitalise on three rapidly emerging trends: globalisation, outsourcing and digitisation.
The fund will seek to invest in capital efficient businesses that provide their customer base with outsourced services and critical information using databases, digital platforms and proprietary content.
Companies within the portfolio will serve high growth sub-sectors primarily within the marketing/communications, healthcare, energy, education, financial and consumer markets.
Marden says: "As the economy continues to recover and transition to a service-based model, we believe this is an opportune time for new investment. Companies that provide timely information and differentiated services that can be distributed through multiple channels will lead the way."
Several asset classes are planned over the next five years, with an initial focus on private equity.
