Cantor Fitzgerald Investment Advisors (CFIA), a unit of Cantor Fitzgerald, has acquired the businesses of San Diego ETF investment firm Efficient Market Advisors (EMA) for an undisclosed sum.

EMA, founded in 2004 by Herb Morgan III, builds investment portfolios using exchange-traded funds (ETFs).

The firm, which has around $1.1bn in assets under advisement and 11 staff, will remain in San Diego and operate within Cantor’s investment advisory subsidiary.

EMA will retain its existing team and will continue to be headed by Morgan, who will join as a senior managing director and CIO of the Efficient Market Advisors division at CFIA.

CFIA senior managing director Dave Goldfarb said: "EMA has a 12-year track record in providing ETF based investing strategies and solutions to its clients. Combining EMA's capabilities with Cantor's robust global distribution, infrastructure and capital markets expertise, will significantly strengthen our asset management platform."

Cantor Fitzgerald CEO Shawn Matthews added: "With this transaction, we continue the build out of our asset management business, which is an important element of the overall strategic direction of our firm.”