Virtus Investment Partners – VRTS – To Acquire Rampart Investment Management

NASDAQ: VRTS), which operates a multi-manager asset management business, announced that Rampart Investment Management, a registered investment advisor that specializes in customized options strategies for institutional and high-net-worth clients, will become a wholly owned boutique asset management affiliate of Virtus.  Since 1983, Rampart has provided systematic and disciplined options solutions to help their clients generate incremental yield, reduce downside risk and mitigate market volatility.

Rampart, a Boston-based, employee-owned investment manager with $1.4 billion under management, will continue to be led by co-founders Ronald M. Egalka, president and chief investment officer, and David R. Fraley, executive vice president, director of client services.  The transaction, which is subject to customary closing conditions, is expected to be completed in the fourth quarter.

As an affiliated partner of Virtus, Rampart will retain its brand, independent investment process, and its proprietary Rampart Options Management System (ROMS^®) platform while leveraging Virtus’ shared retail distribution and business support services.  In addition to focusing on expanding Rampart’s current client base, Virtus expects to use Rampart’s options overlay capability within existing investment strategies and introduce it in new products.

“We have the highest regard for Ron, Dave and the company they have built, and we are excited about the capabilities that the Rampart team will bring to Virtus as an affiliated partner,” said George R. Aylward, Virtus’ president and chief executive officer.

Aylward noted that Rampart’s client base includes high-net-worth individuals and institutional investors, markets that Virtus currently serves.  “Rampart’s proprietary ROMS platform offers a significant advantage for individual and institutional clients that require specialized options strategies to provide either incremental income, downside protection, or attractive risk-adjusted total return.  Ron, Dave and their team have established Rampart as a leader in this important market niche, and we look forward to partnering with them to serve their existing clients and extend their distinctive strategies to other opportunities,” he said.

About Rampart Investment Management – VRTS

Founded in 1983, Rampart Investment Management (VRTS) is a Boston-based registered investment advisor and a leading asset manager specializing exclusively in option strategies.  VRTS with $1.4 billion in assets under management as of July 31, 2012, VRTS manages client assets with expertise in domestic and international, listed and over-the-counter, index and equity options.  VRTS ‘s investment solutions can add value to a broad spectrum of high-net-worth and tax-exempt institutional clients, mutual funds, domestic and international financial service companies, foundations and endowments.  The company’s team of investment professionals uses an array of analytical tools, including the proprietary technology platform, the Rampart Options Management System (ROMS^®), to help investors meet their goals, ranging from cash yield enhancement to risk mitigation.

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Post Written By: Ed Liston Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.