Baird Takes Stake in Sagard; Will Distribute its Products to Wealth Clients

Core Insights - Baird has acquired a minority equity stake in Sagard, aiming to distribute Sagard's products within its U.S. private wealth business [1][2] - The partnership is intended to enhance Sagard's entry into the U.S. wealth channel, providing individual investors access to institutional-quality alternative investments [2] - Baird's private wealth business manages $350 billion in client assets as of June 30, 2025, indicating significant market presence [2] Company Strategies - Sagard's CEO emphasized that the partnership aligns with their strategy to build a leading middle-market-focused investment firm [2] - Baird's Chairman noted that the collaboration will enhance their ability to offer distinctive investment opportunities and strengthen exposure to alternative assets [3] - Both firms plan to launch new U.S.-tailored strategies supported by a wholesaling team and integrated with the alternative investments platform CAIS [3] Industry Trends - The deal reflects a broader trend among financial advisory firms to enhance their alternative investment capabilities [4] - Recent moves by other firms include Merrill Wealth Management launching a private market investment program and Edward Jones expanding its product lineup to include alternative investments [4][5] - Charles Schwab has also introduced a platform for retail clients with significant assets, further indicating the growing focus on alternative investments in the industry [6]