Neuberger Buys McKinsey's $26B Investment Unit

In a significant move within the asset management sector, Neuberger Berman has finalized an agreement to absorb MIO Partners, the dedicated investment and wealth advisory division of global consultancy giant McKinsey & Company. This strategic acquisition is set to bolster Neuberger Berman's assets under management by approximately $20 billion, adding to its already substantial $563 billion AUM as of late 2025. The transaction, which is subject to customary closing conditions, underscores a growing trend of established financial institutions seeking to expand their alternative investment capabilities and client base.

MIO Partners, originally established in the 1980s to manage retirement assets for McKinsey employees, has evolved into a comprehensive financial service provider for both current and former consultants. The unit currently oversees retirement and after-tax investment portfolios for an estimated 30,000 individuals, offering them access to a diverse range of alternative investment strategies. This acquisition will integrate MIO's specialized investment teams, its advisory services tailored for McKinsey partners, and associated operational functions into Neuberger Berman's existing framework.

The strategic rationale behind McKinsey's decision to divest stems from a comprehensive review initiated in early 2025, acknowledging the significant growth and expanded scope of MIO over more than two decades. This move allows McKinsey to sharpen its focus on its core consulting operations while ensuring its former employees continue to receive sophisticated investment management services through a leading asset manager.

Neuberger Berman, a privately-held, employee-owned firm headquartered in New York City, shares a similar ownership structure and client-centric ethos with McKinsey. George Walker, Chairman and CEO of Neuberger Berman, highlighted this cultural synergy, stating, "Neuberger and McKinsey share strong cultural alignment as private, employee-owned firms with a singular focus on serving the long-term interests of clients." This shared philosophy is expected to facilitate a smooth integration of the acquired business.

This acquisition aligns with Neuberger Berman's ongoing strategic expansion within the wealth management sphere. The firm has demonstrated a proactive approach, notably acquiring a minority stake in RIA Mariner in October 2024 through its Neuberger Berman Capital Solutions and Neuberger Berman Private Markets funds. That deal saw Mariner raise $150 million in equity, illustrating Neuberger Berman's commitment to investing in and partnering with key players in the registered investment advisor (RIA) space.

The transaction saw Ardea Partners serve as the advisor to McKinsey, with legal counsel provided by Simpson Thacher & Bartlett. Skadden, Arps, Slate, Meagher & Flom acted as legal counsel for Neuberger Berman. The integration of MIO Partners is anticipated to enhance Neuberger Berman's alternative investment offerings and further solidify its position as a comprehensive financial solutions provider for sophisticated investors.