The $416 billion asset manager will transition to new ownership as investors aim to integrate AI-driven strategies into its operations.
A group of investors led by B Capital Group has agreed to acquire Russell Investments in a $2.8 billion deal. The consortium, which includes the California Public Employees’ Retirement System, seeks to modernize the 90-year-old firm with artificial intelligence technologies.
Russell Investments, which oversees $416 billion in assets, was previously taken private in 2015 for $1.15 billion when it managed $270 billion. The firm has since grown organically by over 15% in the last two years, reflecting increased client inflows amid industry consolidation.
The transaction is pending regulatory approval and is expected to close in early 2025. B Capital co-founder Raj Ganguly emphasized the role of AI in enhancing retirement investing while maintaining human oversight.