Allianz Global Investors announced a strategic partnership with Virtus Investment Partners that will focus on enhancing both firms’ growth opportunities in the U.S. retail market to existing and potentially new clients.
AllianzGI stated in a press release that Virtus will become the investment adviser, distributor and/or administrator of their approximately $23 billion in open-end, closed-end and retail separate account assets. Meanwhile, AllianzGI’s teams will continue to manage the strategies in a subadvisory capacity, providing continuity for their U.S. retail clients.
Also, their Dallas-based Value Equity team, which manages approximately $7 billion of the assets, will join Virtus as an affiliated manager. The partnership also provides for future joint product development of investment solutions for retail clients in the U.S.
The asset manager pointed out that partnership will enhance Virtus’ offerings, giving it access to AllianzGI’s “deep, global investment expertise while expanding AllianzGI’s access and presence in the U.S retail markets”.
“This new partnership is strategically meaningful for us in terms of scale, fit and growth potential,” said George R. Aylward, President and Chief Executive Officer of Virtus.
Tobias C. Pross, Chief Executive Officer of AllianzGI stated that the partnership is “truly complementary” and will allow them to focus their 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”, he said.
Based on current asset levels, the partnership will increase Virtus’ mutual fund assets under management by approximately 40% to $54 billion and its total to $128 billion.
For Funds Society, Madrid