Evercore buys stake in Redwood's Pan-Asset

US investment firm Evercore Partners has acquired a 50% stake in Tory MP John Redwood's Pan-Asset Capital Management exchange traded funds firm with an option to acquire full control at an undisclosed later date.

Evercore has bought shares from two private external investors for an undisclosed sum, and has applied for new shares, meaning the holdings of founders John Redwood, Robert Brown and Christopher Aldous are unaffected.

Chief executive Brown said the Evercore move would give the firm, now re-named Evercore Pan–Asset Capital Management, a greater presence in the market thanks to the promise of substantial development capital from Evercore.

‘We’re not resource-constrained now,’ said Brown. ‘We’ll be looking at different ways of delivering the underlying investment process,’ he added, pointing to the Sipps market as a potential area.

Chairman Redwood said the new partnership would allow the firm to capitalise on growth in the popularity of exchange traded funds (ETFs).

‘ETF-based investment is poised to sweep the investment marketplace by offering the prospect of improved performance at lower cost,’ he said.