Easterly, an asset management holding company that owns stakes in third-party investment management businesses and assists them with strategic growth, announced today it has acquired an equity interest in James Alpha Advisors, LLC, a boutique asset management firm specializing in Global REITs and liquid alternative portfolio solutions for institutional and individual investors.
James Alpha Advisors serves as advisor to the James Alpha family of funds, which features the James Alpha Global Real Estate Investments Fund (JARIX), which is recognized for its long-term outperformance, earning Lipper Leader ratings of 5 for Total Return and Consistent Return. The fund also is rated 4 stars by Morningstar.
As a result of the investment, Easterly has assumed operational control of the firm. Darrell Crate and Michael Collins, Global Head of Distribution, will join the senior team from Easterly. James Vitalie will remain as President and Kevin Greene will serve as Chairman.
James Alpha also features 11 additional mutual funds which include: the James Alpha Managed Risk Domestic Equity Fund (JDIEX), rated 4 stars by Morningstar and sub-advised by EAB Investment Group, as well as the James Alpha Structure Credit Value Fund (JSVIX), which seeks yields competitive with the high-yield market but with significantly lower volatility and risk, is sub-advised by Orange Investment Advisors. The fund family also includes a suite of Dynamic Beta hedge fund index replication strategies and other specialty asset classes, that are managed either by in-house professionals or by sub-advisors.
Headquartered in New York, James Alpha Advisors maintains offices in Colorado and Florida staffed by a team of 25 experienced investment professionals.
“James Alpha Advisors has innovative real estate and alternative investment products as evidenced by the Global Real Estate Investments Fund. We at Easterly are looking forward to contributing our veteran marketing team to the already good work at James Alpha Advisors to increase market reach and enhance client service. Having been part of the partnership that launched Easterly Government Properties, we understand how REITs and alternatives can create greater diversification and provide value to shareholder portfolios. We look forward to joining forces with James Alpha Advisors to scale its business and position the business for continued success,” said Darrell Crate, Easterly’s Managing Principal.
Crate has joined Kevin R. Greene, the firm’s managing partner, and Denis J. Nayden on the Board of Directors. Greene will serve as Chairman of the Board.
“Our partnership with Easterly begins an exciting time for us at James Alpha,” said Nayden. “When considering potential partners, we wanted to ensure that our firm would retain its essential character, including our focus on the interests of our clients. We believe Easterly is the ideal long-term partner to take advantage of market opportunities, build scale and accelerate the growth of the business.”
Crate, who helped to build an asset management powerhouse as Chief Financial Officer of Affiliated Managers Group (NYSE: AMG), established Easterly in 2009, co-founded Easterly Government Properties (NYSE: DEA), and also Levin Easterly Partners, a private asset management firm specializing in contrarian value equity investing.
“All of us at Easterly are extremely excited about this new partnership. James Alpha Advisors offers many great investment products ranging from a world-class Global REIT Fund and a top-performing structured credit and managed risk funds, to innovative hedge fund replication strategies. We are very confident that there will be exceptional demand for these products in both the retail and institutional investor markets,” said Collins.
“We are excited to work with Darrell Crate and his team,” said Greene. “Darrell has a decades-long track record of taking specialized investment management firms to the next level, helping them to build scale and expand distribution while enabling them to continue doing what they do best: Manage assets.”
Added Crate, “The rationale for products such as those offered by James Alpha Advisors has always been to create greater portfolio diversification, untethered to the swings of broad global markets and uncorrelated with major indices. This is a firm with an offering designed for all market environments, especially the very one we are now in, and we look forward to partnering with them.”
The transaction closed in May 2020. The terms of the transaction were not disclosed.
Easterly is a private asset management holding company that has interests in boutique investment management firms. We acquire and develop ownership stakes in select asset management businesses seeking to accelerate growth, launch innovative products and further institutionalize their products and platforms and generate enterprise value. For more information, please visit www.easterlypartners.com.
About James Alpha Advisors, LLC
James Alpha Advisors, LLC is a boutique asset management firm focused on providing innovative liquid alternative portfolio solutions for institutional and individual investors. We serve as the advisor and distribution arm for leading alternative fund managers in the James Alpha family of mutual funds and related portfolios. We believe that investing opportunistically in higher growth, high-quality liquid global real estate companies across the market capitalization spectrum with more favorable supply-demand metrics will, over the long term, generate attractive total return with below-average levels of risk. At the end of March 2020, James Alpha Advisors had $1.1 billion in assets under management. For more information, please visit https://www.jamesalphaadvisors.com/.
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