Mercer has signed a definitive agreement to acquire Hammond Associates, the third-largest investment consulting firm serving endowments and foundations in the United States. Mercer said the acquisition further enhances its alternative research and investment capabilities and provides additional consulting opportunities in the private wealth and health-care markets. From 2005 to 2009, endowment and foundation funds using investment consulting services grew at a compounded rate of 10 percent annually, compared with a 5 percent annual rate of growth for both U.S. corporate and public funds, the company said. The transaction is expected to close at the end of 2010. Terms of the agreement were not disclosed. Mercer is a wholly owned subsidiary of Marsh & McLennan Cos. Inc.