The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Virtus Adopts a $23B-AUM U.S. Biz Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, July 07, 2020

Virtus Adopts a $23B-AUM U.S. Biz

Reported by Neil Anderson, Managing Editor

A multiboutique asset manager is preparing to adopt a $590-billion-AUM multinational's retail U.S. asset management offerings.

George Robert Aylward
President and CEO
Virtus Investment Partners
This morning, George Aylward, president and CEO of Virtus Investment Partners [profile], and Tobias Pross, CEO of Allianz Global Investors [profile] (AllianzGI), confirm that they've agreed to a strategic partnership under which Hartford, Connecticut-based Virtus will take over Munich-based AllianzGI's retail distribution in the U.S. (AllianzGU's U.S. business is based in New York City.) As part of the alliance, Virtus will replace AllianzGI as the investment advisor, distributor, and/or administrator on AllianzGI's U.S. retail asset management offerings, including open-end mutual funds, retail SMAs, and closed-end funds.

Meanwhile, AllianzGI's Dallas-based $7-billion-AUM value equity team, formerly known as NFJ Investment Group, will become one of Virtus' affiliated boutiques. And AllianzGI will stay on in a subadvisory capacity for the products Virtus is adopting.

The adoptions, subject to fund board and shareholder approval, are expected to close late in 2020. Overall pricing and terms of the deal were not disclosed, though a joint statement from the AllianzGI and Virtus teams confirms that the deal includes no upfront payments (i.e. at closing).

Warren Enskat Group and Paul Hastings advised AllianzGI on the deal, while Morgan Lewis Bockius advised Virtus.

Based on May 31 numbers, the deal is expected to boost Virtus' AUM to $128 billion, including a 40 percent (about $15 billion) mutual fund AUM increase to $54 billion.

Virtus' Aylward describes the AllianzGI deal as "strategically meaningful" for Virtus "in terms of scale." And he hints at AllianzGI powering new Virtus products, too.

"We look forward to bringing AllianzGI's multi-asset, thematic equity, and alternative strategies to our fund and separate account offerings, and the opportunity to partner on joint product development underscores the growth-oriented nature of the alliance," Aylward states.

AllianzGI's Pross describes the Virtus deal as "truly complementary."

"Combining AllianzGI's ongoing portfolio management expertise with Virtus' strong, focused retail distribution and administrative capabilities is a recipe for mutually beneficial growth in U.S. funds and separate accounts," Pross states. "It will allow us to focus our U.S. distribution efforts on the Institutional, Insurance, Sub-Advisory and Non-Resident markets, which are more closely aligned with our strengths in other markets."

The AllianzGI-Virtus deal comes as Malie Conway, formerly chief investment officer of global fixed income strategies at AllianzGI, is crossing to this side of the pond to take over as U.S. distribution chief after the CEO of AllianzGI's U.S. business left last month. The deal also comes as Allianz Investment Management (part of Allianz Life Insurance Company of North America, an AllianzGI sibling) is entering the ETF business. 

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2021: Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

  1. MFDF webinar - Gamification of Securities Trading: Fad or the Future?, April 14
  2. IDC Speaker Series - Diversity, Inclusion, and Implicit Bias: An Interview with Song Richardson, April 14
  3. IDC Virtual Roundtable: New Jersey and Pennsylvania - April 2021, April 15
  4. MFDF In Focus: Board Oversight of Sub-advisers, April 15
  5. The 31st Sub-Advised Funds Forum, Apr 20-21
  6. ETF.com Awards 2020, April 20
  7. IDC Virtual Roundtable: Florida - April 2021, April 20
  8. IMEA Marketing Council Roundtable | Engaging Advisors In a Virtual World, April 21
  9. MFDF Director Discussion Series - Open Forum via Zoom (Northeast), April 21
  10. FIASI virtual event - ESG in Fixed Income: Shining a Light on Transparency, Apr 22-23
  11. IDC Virtual Roundtable: Alabama, Georgia, North Carolina, and South Carolina - April 2021, April 22
  12. IDC Webinar: The Future of the Workplace - April 2021, April 23
  13. IDC Virtual Roundtable: Arkansas, Louisiana, Mississippi, Oklahoma, Tennessee, and Texas - April 2021, April 27
  14. MFDF Case Studies in Fund Oversight — A Virtual Roundtable for Directors, Apr 28-29
  15. IDC Virtual Roundtable: Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota - April 2021, April 29
  16. 44th Annual AIMSE Marketing & Sales Conference, May 2-4
  17. MFDF Director Discussion Series - Open Forum via Zoom (Southeast), May 5
  18. ICI 2021 General Membership Meeting - Day 1, May 6
  19. Emerging Manager Forum USA, May 12-14
  20. ICI 2021 General Membership Meeting - Day 2, May 13
  21. 2021 FINRA Annual Conference, May 18-20
  22. IDC Speaker Series - Abby Joseph Cohen: A Conversation About the State of the Global Markets, May 19
  23. 2nd annual ETFGI Global ETFs Insights Summit - USA, May 19-20
  24. MFDF Director Discussion Series - Open Forum via Zoom, May 19
  25. Irish Funds Online Annual Global Funds Conference 2021, May 19-20
  26. MFDF webinar - Fund Director Compensation: MPI Annual Survey (2021), May 20

©All rights reserved to InvestmentWires, Inc. 1997-2021
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use