• Seller
  • Buyer
  • Type
  • Date Announced
  • Seller AUM
  • Invesmart, Inc.
  • Stancorp Financial Group, Inc.
  • Other
  • April 25, 2006
  • $10 Billion

Seller Details

Invesmart is headquartered in Pittsburgh, Pennsylvania with local sales and service offices in 20 cities across the United States. The business being acquired consists of approximately 3,400 retirement plans with assets under administration of more than $10 billion. Invesmart has over 2,000 plans with daily valuation services of approximately $7.0 billion in assets and over 200,000 participants; over 1,000 plans with traditional balance forward valuation; and over 350 defined benefit pension plans.

Buyer Details

StanCorp is a 100 year old business with 58 offices, 2,798 employees and $2.34 billion total revenue in 2005. StanCorp is a leading provider of employee benefit products and services serving the life and disability insurance needs of employer groups and individuals; through its subsidiaries, it has the authority to underwrite insurance products in all 50 states. StanCorp also provides accidental death and dismemberment coverage, dental insurance, annuity products, retirement plan products and services and investment advisory services. Its mortgage business originates and services small fixed-rate commercial mortgage loans for the investment portfolios of its insurance subsidiaries and for sale to institutional investors. StanCorp operates through three segments: Employee Benefits, Individual Insurance and Retirement Plans.

Transaction Summary

The acquisition will give retirement plan customers of StanCorp access to RightPath, Invesmart's next generation defined contribution plan. RightPath is a participant-focused approach to traditional defined contribution plans where an investment advisor has a candid, face-to-face dialog with participants during the enrollment meeting regarding their retirement financial situation, and provides individualized saving and investing tools and strategies to help them reach their retirement goals. Invesmart will operate as a subsidiary of StanCorp and will become part of its recently formed Asset Management Group.