One aspect of the Bank of America's acquisition of U.S. Trust Corporation from Charles Schwab that has garnered little media attention is that Bank of America is also boosting its asset management business via the deal, which closed July 1.
With the deal, U.S. Trust's Excelsior Funds is now part of Columbia Management, Bank of America's investment management. The transaction increases Columbia's mutual fund assets under administration by $20 billion.
So what will happen to Excelsior's brand, portfolio managers and sales force?
Faith Yando, a spokesperson for Columbia Management said Excelsior's fund managers have been integrated into Columbia.
As for the sales force, there will be no changes to the current structure, Yando said.
"At this time, there are no immediate changes to the sales and service teams, business processes and documentation associated with any accounts," she added.
Excelsior and Columbia Funds, she said, will continue to operate as separate fund complexes.
At end-March, three months before the deal closed, Columbia's mutual fund AUM totaled $212 billion while Excelsior's stood at $20 billion.
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