Franklin Templeton has bought Edinburgh Partners, the boutique owned by former employee Sandy Nairn, for an undisclosed sum.
Dr Nairn worked alongside Sir John Templeton, the Franklin Templeton founder, and was at the firm for more than a decade. He will become chairman of Templeton Global Equity Group, and remain investment partner and CEO of Edinburgh Partners.
Stephen Dover, Franklin Templeton’s head of Equities, said: “Dr. Nairn will bring many new insights to share, having run his own firm for the last 15 years, while also drawing upon his in-depth knowledge of the Templeton investment philosophy and process from his many prior years with the group.
"We look forward to having Dr. Nairn and his team join our strong lineup of investment groups."
Edinburgh Partners manages approximately US $10bn (£7.25bn) as of 31 December 2017 in global and emerging markets equities.
It has twelve asset managers and manages two investment trusts - the EP Global Opportunities trust and The European Investment trust. Templeton currently manages $101bn (£73.2bn).
Prior to founding Edinburgh Partners in 2003, Mr Nairn spent three years as chief investment officer at Scottish Widows Investment Partnership.
Mr Nairn said he was "very excited" to be coming back to Templeton, the company that "gave me my great appreciation for global investing".
"My team and I are deeply familiar with the history and strong reputation of the broader Franklin Templeton organization, and we’re pleased to join such a well-regarded firm.
"I look forward to sharing my perspective and experience with the Franklin Templeton organization. The access to Franklin Templeton’s extensive global resources will allow me to focus my time on investment management, as we continually seek to bolster our investment process and enhance our clients’ experience.”
Minesh Patel, IFA from EA Financial Solutions in London, said that Franklin Templeton was a good brand and that the addition of the Edinburgh investment trusts would be a welcome one.
"Investment trusts are still underused by advisers," he said.