Deals & People April 20, 2007

Nuveen Investments to Acquire Investment Management Firm

Nuveen Investments is acquiring HydePark Investment Strategies, a firm that specializes in enhanced equity investment management.
Reported by

The deal will expand Nuveen’s equity-based capabilities for high-net-worth investors. As part of the deal, Nuveen, which provides investment services to institutional and high-net-worth investors, will also take over Richards & Tierney, Inc., a firm that provides specialized risk control and portfolio advisory services to institutional investors. Richards & Tierney will continue to operate under current management; however, HydePark will operate under the Nuveen brand.

For more stories like this, sign up for the PLANADVISERdash daily newsletter.

HydePark’s enhanced equity products, designed to consistently outperform a chosen benchmark while assuming minimal additional risk, include: an Enhanced 500, an Enhanced 1000, an Enhanced 2000, an Enhanced Midcap, a Large Growth portfolio, a long-short market neutral portfolio and a series of enhanced portfolios customized to client needs. HydePark has about $350 million in assets under management and a client list that includes GE Asset Management, The University of Minnesota Foundation, and COPIC Insurance Company, a news release stated.

Richards & Tierney was founded in 1984 by Thomas Richards and David Tierney, whose clients include The California Public Employees’ Retirement System (CalPERS), Target Corp., General Mills, The Regents of the University of California, and The American University of Cairo.

The deal is supposed to close at the end of the month and financial terms of the deal that is supposed to close at the end of the month were not disclosed.

The Markets April 19, 2007

End of 2006 Sees Increase in World Mutual Fund Assets

Combined assets of the world’s mutual funds increased 7.6%, to $21.76 trillion at the end of the fourth quarter of 2006 and 22.5% for the year, according to the Investment Company Institute (ICI).
Reported by
Long-term funds – stock, bond, and hybrid funds – had a net inflow of $261 billion in the fourth quarter, about twice as high as the pace of net flows in the second and third quarters, but fell short of Q1 inflows of $409 billion, the ICI data showed.
Assets of equity funds climbed 10% to $10.5 trillion at the end of the last quarter while bond funds were up 4.3% and money market funds, up 4.9% in the same quarter. The assets of balanced/mixed funds rose by 7.9% to $2.1 trillion for the quarter, and for the year, assets in these funds grew 32.5% compared to 26.2% for equity funds and less than 15% for both bond and money market funds.
Net cash flow to mutual funds worldwide was $404 billion in the fourth quarter of 2006, with both long-term funds and money market funds experiencing aggregate net inflows. Equity fund flows worldwide were $150 billion in the fourth quarter, compared with $65 billion in the third quarter, according to ICI.
The Americas accounted for the lion’s share of equity flows, with $79 billion in the fourth quarter, followed by the Asia/Pacific region for $36 billion, and Europe for $35 billion of equity flows, up from $18 billion, $20 billion, and $26 billion, respectively, in the third quarter.
Net flows to bond funds strengthened to $40 billion in the fourth quarter of 2006 after posting a net inflow of $3 billion over the past two quarters combined, with the U.S. accounting for nearly the entire upswing.
Balanced fund inflows came in at $45 billion, while flows into money market funds were $143 billion the fourth quarter, up from $124 billion in the quarter before, with the U.S. accounting for $145 billion of money market inflows.
For the full fourth quarter ICI report visit http://www.ici.org/stats/mf/ww_12_06.html.

«