Allianz, Constellation Invest $450M in ALTi Global

AlTi Global, a global wealth and alternatives manager with approximately $68 billion in combined assets, announced an investment of up to $450 million from Allianz X and Constellation Wealth Capital.

Allianz X, the investment arm of Allianz SE, a German insurance and asset manager behemoth, will invest up to $300 million and Karl Heckenberg’s Constellation Wealth Capital, an advisory firm that invests in wealth managers, will invest $150 million.

AlTi will use the capital to fund its mergers and acquisitions pipeline and organic growth activities, the firm said.

Allianz X will invest $250 million in a combination of common and convertible preferred stock, with the potential to deploy an additional $50 million for the wealth firm’s global expansion goals. Constellation Wealth Management is investing $150 million to acquire a new type of convertible preferred shares in AlTi, with the majority of the investment expected to close by the end of March.

“This investment accelerates AlTi’s trajectory to become the leading global independent UHNW wealth management platform, with strategic and targeted expertise in alternatives,” said Michael Tiedemann, CEO of AlTi Tiedemann Global.

Nazim Cetin, CEO of Allianz X, and another Allianz representative will be appointed to AlTi’s board of directors, and Constellation Wealth Capital will have an observer seat on the board.

AlTi, based in New York City, was formed last year by the merger of wealth managers Alvarium Investments and Tiedemann Group through Cartesian Growth Corp., a special purpose acquisition company.

Allianz, which manages $2.33 trillion in assets, is one of a growing number of global corporations focusing on the wealth industry. In September, Carlyle Group Inc. acquired a stake in U.S. wealth advisor Captrust, while the Ontario Teachers’ Pension Plan, a Canadian fund, invested in London-based 7IM.