Tiburon puts industry M&A activity at $134 billion

Among the report's other key findings:

The number of financial services industry mergers and acquisitions will slowly increase and eventually level off to 1,045 by year-end 2013
The number of mergers and acquisitions will increase to 9,750 by year-end 2013
Mergers and acquisitions valuations will likely decrease to $1.05 trillion as larger firms take advantage of purchasing smaller firms at a discount
Financial services industry mergers and acquisitions valuations will likely decrease as larger firms purchase smaller niche companies at a discount
Financial services industry mergers and acquisitions total 15,000. Adding 6,000 related mergers and acquisitions yields 21,000 broadly defined industry transactions
There are almost 9,500 cumulative mergers and acquisitions each year, an increase of almost 50% since 2003
There are nearly 1,000 financial service industry cumulative mergers and acquisitions, up 400% since 1985 to 1989
Financial services industry mergers and acquisitions account for only 10% of all mergers and acquisitions

Insurance Company Acquirers

There are 330 insurance company acquisitions of other insurance companies, up 40% since 1990 but down from the 1996 peak
The average valuation of insurance companies acquisitions has been declining since 2001 to $68 million
Over one-third of insurance companies have completed or given serious consideration to purchasing other insurance companies in the last 12 months
Over one-half of insurance companies have completed or given serious consideration to purchasing blocks of business in the last 12 months
Almost one-fifth of insurance companies have completed or given serious consideration to selling their companies in the last 12 months
Over 10% of insurance companies have completed or given serious consideration to selling blocks of business in the last 12 months
The number of insurance company acquisitions of asset managers has been relatively low, at just 3 to 14 each year
The valuation of insurance company acquisitions of asset managers dropped to $153 billion from its high in 2004 and 2005 at $1.7 billion
The average valuation of insurance company acquisitions of asset managers has dropped to $19 million from its high in 2005 at $425 million

Investment Management Firm Acquirers

Mutual fund price-to-assets under management valuations are the highest compared to private client and institutional asset managers
Mutual fund price-to-revenue multiples are the highest amongst private client and institutional asset managers
Mutual fund price-to-EBITDA multiples are the highest amongst private client and institutional asset managers
Almost all asset managers feel that legal and regulatory issues are their biggest business challenge
One-quarter of asset managers have done an acquisition in the past three years
The most difficult aspect of doing deals for asset managers is getting reliable data on clients' profitability and profiles
The client retention rate after asset management deals averages around 90%
The highest sale prices have gone to the largest TAMPs, both platform and product–oriented firms