The acquisition will increase Touchstone’s assets under management to nearly $10 billion and add several new sub-advisers to its current roster of fund managers, a press release said. Terms of the agreement were not disclosed.
Consummation of the transaction is subject to certain conditions and approvals, and is expected to be completed early in the second quarter of 2012. Upon the completion of the transaction, 17 Old Mutual funds will be reorganized into Touchstone Funds with OMAM’s affiliated investment managers continuing as sub-advisers to a significant majority of those funds.
Steven M. Graziano, President of Touchstone Investments, said, “The addition of Old Mutual’s affiliated investment managers will increase the range of funds we offer and fills the gaps in our current lineup with boutique managers who have strong, long-term performance records.”
Following the closing of the transaction, it is expected that there will be no material changes in the investment strategies employed by the reorganized Old Mutual funds, though it is anticipated that many of the funds will be marketed under the Touchstone brand.
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