Clime Investment offloads SMA business

Clime Investment Management is selling its separately managed accounts (SMA) products and some managed funds for about $7.7 million to an unnamed party.

The cash transaction is subject to platform consent, due diligence and completed documentation.

"Commercial terms are agreed. These transactions represent further progress in exiting sub-scale retail product structures and aligning the group to its future mandate-led operating model," Clime said.

Yesterday, the group finalised the sale of its retail advice arm, Clime Advice, for $6 million, comprising $1 million in equity and vendor finance of $5 million. It retains a 10% interest in the newly combined business.

The deal involved Clime retaining selected high-net-worth family office relationships operating under portfolio management arrangements rather than traditional retail advice structures.

"The business will continue to trade as Clime Private Wealth and approximately 20 staff will relocate to our Angel Place Pitt Street Office over the next six weeks. Clime continues to support advisers through asset consulting, research and portfolio services, maintaining long-term commercial alignment while materially reducing internal complexity," the company said.

During the March quarter, Clime appointed Anshul Thapar as chief operating officer.

Thapar was previously Clime's head of operations for nearly a year and before that was operations manager.

Elsewhere, he served as manager of investor services at Leveraged Equities and was a team leader of cash operations at Ord Minnett.

In the last few months, Clime also restructured its investment in James Street Wealth, with its 30% ownership transferred to the founder under a structured financing arrangement. Clime retains a 20% interest.

Newly appointed chair Paul Lahiff said: "Clime is transitioning toward a mandate-led investment model supported by improving investment performance and reduced operational complexity. The board believes these changes provide a strong foundation for scalable growth and long-term shareholder value."

Clime had $1.5 billion in funds under management at the end of March.