B. Riley Securities Names Top Pick in Financial Services Sector

Investing.com -- B. Riley Securities has named Abacus Global Management Inc. as its top investment opportunity in the financial services sector, citing the alternative asset manager’s expansion into new business lines, rising assets under management and potential for stronger recurring revenue.

The firm rates Abacus Global Management, which focuses on life insurance as an alternative asset class for institutional and private wealth clients, at Buy with a $16 price target. B. Riley said the company has strengthened its business model over the past year through the expansion of its Abacus asset group, the securitization and consolidation of acquired policies into income funds, and the development of a private wealth management platform.

Abacus raised $378 million across longevity funds and exchange-traded funds in the first quarter of 2026, while fee-paying assets under management reached $3.28 billion, up 21% from the end of 2024. The company is targeting more than $5 billion in assets under management by the end of 2026.

B. Riley expects a second securitization, projected for late in the second quarter or third quarter, along with the planned launch of an interval fund, to broaden Abacus' distribution channels and support further asset growth.

Investor demand has also remained strong, with the LMA Income Fund II returning 100% of capital to investors and about two-thirds of investors choosing to recommit their capital, B. Riley said.

The brokerage said it will continue to monitor potential merger and acquisition opportunities as well as the closing of Abacus' second securitization, which could provide further catalysts for the company's growth.

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