- B Capital-led group has agreed to buy Russell Investments for $2.8 billion.
- The transaction is expected to close in the first quarter of 2027, pending regulatory approvals.
- Russell Investments will continue to operate independently under its existing leadership team after the acquisition.
- Russell Investments is being acquired to prepare the asset manager for the AI era.
- CalPERS has been an active investor in general-partner stakes and managed $634.24 billion in assets as of July 7.
- Russell's plan is to use the backing of the investor consortium to extend its open architecture approach through technology and greater customization.
B Capital Group and a consortium including the California Public Employees’ Retirement System (CalPERS) have announced the acquisition of Russell Investments for $2.8 billion. This strategic move aims to prepare the asset manager for the AI era and enhance its service offerings.12456
Russell, which manages over $416 billion in assets, will continue to operate independently under its current leadership. The deal, expected to close in Q1 2027, is pending regulatory approvals. CalPERS, which manages $634.24 billion in assets, has been an active investor in general-partner stakes, indicating a strong commitment to the investment landscape.
According to Russell Investments CEO Zach Buchwald, “Helping people build long-term financial security is one of the defining challenges of our time.” He emphasized that the partnership with the investor consortium presents a compelling opportunity to create a next-generation asset manager.
The consortium, organized by B Capital, aims to leverage technology, customization, and analytics to extend Russell’s open architecture approach to a broader range of investors. CalPERS’ deputy chief investment officer Anton Orlich noted that Russell has built a trusted global franchise grounded in investment excellence and client service.
The acquisition reflects a growing trend among asset managers to adapt to technological advancements and changing market dynamics, positioning them for future growth and innovation.
“Russell Investments, managing over $416 billion in assets, aims to leverage the consortium's backing to enhance its technology and client services. CalPERS, with $634.24 billion in assets, is a key player in this acquisition, emphasizing a commitment to investment excellence and innovation.”
