ASAE Launches Retirement Trust for Associations

Through the ASAE Retirement Trust, organizations gain access to institutional pricing that’s often out of reach for many associations and nonprofit organizations, the company says.

ASAE has launched the ASAE Retirement Trust.

The Trust, created through ASAE Business Services, Inc. (ABSI), ASAE’s wholly-owned subsidiary, delivers a retirement plan that is designed to help organizations address two pressing talent management challenges: financial retirement readiness among current staff and attracting and retaining high quality, skilled employees in an increasingly competitive workforce.

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Empower Retirement has been engaged to market and distribute the plan within the association and nonprofit community.

Through the ASAE Retirement Trust, organizations gain access to institutional pricing that’s often out of reach for many associations and nonprofit organizations. “We wanted to build a retirement program that’s unique to the association market and reflects the values of our community. The ASAE Retirement trust delivers essential features, customized for the association market, and provides experts who will advise and monitor investment choices and take care of plan administration. Through the ASAE Retirement Trust, organizations gain the ability to deliver a fantastic benefit to their current employees and bolster their appeal among prospective employees,” says ASAE President and CEO John H. Graham, IV.

For more information about ASAE’s Retirement Trust, visit www.asaeRetirementTrust.org.

Investment Product and Service Launches

Northern Trust subsidiary joins forces with alternatives specialist Aurora Investment Management; Vanguard Launches international high-dividend yield index fund and dividend appreciation index fund.  

50 South Capital Advisors to Acquire Aurora Investment Management

50 South Capital Advisors, an investment advisory subsidiary of Northern Trust Corporation, announced the pending acquisition of the investment management business of Aurora Investment Management, a subsidiary of Natixis Global Asset Management.

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According to the firms, the addition of Aurora to the Northern Trust Corporation family of companies will offer clients of both firms access to an “expanded global alternative investment platform with the size and resources to deliver comprehensive hedge fund, private equity and real asset solutions.”

“This strategic acquisition supports our objective as a trusted asset manager to provide solutions that are suited to client investment objectives and risk tolerances,” explains Northern Trust Chairman and Chief Executive Officer Frederick Waddell. “We are pleased to take this step and significantly grow our alternative investment capabilities to help investors meet the challenges of high volatility and persistent low yields in financial markets.”

Roxanne Martino, CEO of Aurora, adds that the cultures of 50 South Capital and Northern Trust are a good fit and should drive “highly complementary investment capabilities and …  a strong platform for growth.”

For nearly 30 years, Aurora has been a manager of hedge fund strategies, “with expertise in seeding and co-investing with investment managers and a strong base of high net worth and institutional investors, including corporate and public pension funds, foundations and endowments, insurance companies and health care organizations.”

The combination will significantly expand 50 South Capital’s alternative investment capabilities with the addition of the Aurora investment team that averages more than 20 years of investment experience and brings new capabilities in emerging manager, co-investment and liquid alternatives strategies.

The acquisition is subject to customary closing conditions and is anticipated to close in the third quarter of 2016. For more information, visit www.50SouthCapital.com.

NEXT: Vanguard adds to index fund lineup 

Vanguard Launches Two New Index Funds  

Vanguard launched the firm’s first two dividend-oriented international index funds, featuring low-cost mutual fund and ETF shares.

The new funds are the Vanguard International High Dividend Yield Index Fund and the Vanguard International Dividend Appreciation Index Fund.

Vanguard explains the International High Dividend Yield Index Fund follows an income investing strategy, focusing on companies with high dividend yields. The fund will “seek to track the FTSE All-World ex US High Dividend Yield Index, a benchmark of more than 800 of the highest yielding large- and mid-cap developed and emerging markets securities.”

The International Dividend Appreciation Index Fund emphasizes stocks “exhibiting dividend growth and seeks to track the Nasdaq International Dividend Achievers Select Index, which comprises more than 200 all-cap developed and emerging markets stocks with a track record of increasing annual dividend payments.”

The funds are available to retirement plans and offer three low-cost share classes, including exchange-traded fund (ETF) shares. For the International High Dividend Yield Index Fund, an initial investment of $3,000 will be assessed a 40-basis points fee, while $10,000 will make an investor eligible for a 30-basis points fee, either in a mutual fund or ETF wrapper. For the International Dividend Appreciation Index Fund, a minimum investment of $3,000 sets the fee at 35 basis points, decreasing to 25 basis points for investments above $10,000.

The firm says the new funds “will complement Vanguard’s existing domestic dividend-oriented index funds: The $16 billion Vanguard High Dividend Yield Index Fund and the $23 billion Vanguard Dividend Appreciation Index Fund.”

For more information, visit www.vanguard.com

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