Rebrands Managers Investment Group as AMG Funds
Exercises Right to Purchase Remaining Minority Equity in Aston
Asset Management
BOSTON--(BUSINESS WIRE)--Jan. 21, 2014--
Affiliated Managers Group, Inc. (NYSE: AMG), a global asset management
company, today announced a number of strategic initiatives as part of
its increased focus on the U.S. retail market, including rebranding
Managers Investment Group LLC, its domestic retail distribution
business, as AMG Funds, and aligning Aston Asset Management within the
AMG Funds business. Through this process, 39 mutual funds available
through Managers Investment Group will be rebranded as AMG Funds in the
second quarter of 2014, a step which will more closely associate the
identity of these funds with AMG. In addition, AMG will exercise its
option included in the original agreement with Aston to acquire the
balance of the equity of Aston that it does not already own. This option
was unique to the Aston transaction. Aston will remain a distinct
business within AMG Funds, serving the Aston Funds and shareholders with
its own management and sales teams and back office. The transaction,
which has been approved by the trustees of the Aston Funds, is subject
to the approval of Aston mutual fund shareholders and is expected to
close by June 1, 2014.
“We believe AMG has a tremendous opportunity to gain additional market
share as U.S. retail investors seek actively managed, return-oriented
investment strategies,” said Sean M. Healey, Chairman and Chief
Executive Officer of AMG. “The steps we are taking – the rebranding of
Managers Investment Group as AMG Funds and the alignment of Aston Asset
Management within our retail platform – reflect our commitment to make
the most of this opportunity by building our scale and capabilities. By
leveraging the AMG name into our retail business, we will enable our
Affiliates to better capitalize on the AMG brand as they bring
world-class products to market.”
Rebranding of the AMG Funds
Established in 2005, Managers Investment Group is a wholly-owned AMG
subsidiary with $58 billion in assets under management, assets under
service and sub-advised assets. The firm provides access to many of
AMG’s Affiliates through its family of mutual funds, separately managed
accounts and asset allocation products. In addition, the firm oversees
and distributes a number of complementary, open-architecture mutual
funds managed by non-AMG Affiliates. While the names of funds currently
branded under Managers Investment Group will change, the ticker symbols
will remain the same. There is no change to the legal or ownership
structure of the funds and the name change will have no impact on their
management.
The rebranding initiative, which more closely aligns Managers Investment
Group and its products with AMG, will enhance AMG Funds’ identity and
help strengthen the position of both AMG Funds and AMG’s Affiliates in
the U.S. retail marketplace. This will further enable AMG and its
Affiliates to take advantage of an emerging opportunity as investors
rotate out of fixed income and seek active, return-oriented products to
meet their investment goals.
Acquisition of Remaining Equity of Aston Asset
Management
Based in Chicago, Aston is the principal advisor to the Aston Funds,
which offers sub-advised investment products to the mutual fund and
managed account markets, including 23 sub-advised, no-load mutual funds.
In 2010, AMG acquired a substantial majority of the equity in Aston,
which had $15 billion in assets as of September 30, 2013. AMG will
exercise the option included in the original agreement with Aston to
acquire the balance of the equity that it does not already own. This
option was unique to the Aston transaction.
Aston will be restructured to become part of AMG’s U.S. retail
distribution platform through the newly rebranded AMG Funds, but will
continue to operate as an independent business with its own fund family,
sales force and back office. Stuart Bilton, Aston’s founder, Chairman
and Chief Executive Officer, will report to Andrew C. Dyson, AMG’s
Executive Vice President and Head of Global Distribution.
“Aston has an excellent track record of delivering value to its clients
by partnering with boutique asset managers around the world,” Mr. Dyson
said. “These steps will allow Aston to maintain its autonomy and
distinctive approach, while enabling clients of both Aston and AMG Funds
to capture the benefits of scale over time.”
Following the closing of the transaction, AMG’s U.S. retail distribution
platform will include approximately $73 billion in assets across 62
mutual funds and sub-advised products.
About Affiliated Managers Group
AMG is a global asset management company with equity investments in
leading boutique investment management firms. AMG’s innovative
partnership approach allows each Affiliate’s management team to own
significant equity in their firm while maintaining operational autonomy.
AMG’s strategy is to generate growth through the internal growth of
existing Affiliates, as well as through investments in new Affiliates.
In addition, AMG provides centralized assistance to its Affiliates in
strategic matters, marketing, distribution, product development and
operations. As of September 30, 2013, the aggregate assets under
management of AMG’s Affiliates were approximately $513 billion (pro
forma for a pending investment) in more than 400 investment products
across a broad range of investment styles, asset classes and
distribution channels. For more information, please visit the Company’s
website at www.amg.com.
Certain matters discussed in this press release may constitute
forward-looking statements within the meaning of the federal securities
laws. Actual results and the timing of certain events could differ
materially from those projected in or contemplated by the
forward-looking statements due to a number of factors, including changes
in the securities or financial markets or in general economic
conditions, the availability of equity and debt financing, competition
for acquisitions of interests in investment management firms, the
ability to close pending investments, the investment performance of our
Affiliates and their ability to effectively market their investment
strategies, and other risks detailed from time to time in AMG’s filings
with the Securities and Exchange Commission. Reference is hereby made to
the “Risk Factors” set forth in the Company’s Form 10-K for the year
ended December 31, 2012.
AMG routinely posts information that may be significant for investors
in the Investor Relations section of its website, and encourages
investors to consult that section regularly. For additional information,
please visit www.amg.com.
Source: Affiliated Managers Group, Inc.
Affiliated Managers Group, Inc.
Investor Relations:
Alexandra
Lynn
(617) 747-3300
ir@amg.com
or
Media
Relations:
Laura O’Brien
(617) 747-3300
pr@amg.com