Money Management Executive Latest News

Firms that buy asset managers typically pay too much for less-profitable firms, according to a new report from consulting firm Cerulli Associates. In addition, the report says that many newly acquired subsidiaries grow more slowly than their peers.

Conseco Fund Group, the fund unit of insurance giant Conseco of Carmel, Ind., has added two sub-advisors to manage its small cap growth fund and its yet-to-be-released large cap value fund.

ING Americas will combine the ING Pilgrim Funds and Aetna Funds next year, said Dreama Briley, a spokeswoman for ING Pilgrim. In 2000, ING acquired both Aetna and ReliaStar Financial Corp., which included the Pilgrim Funds.

Alliance Capital Management reported that its assets under management increased to approximately $458 billion as of Nov. 30, a 3.4% increase from the previous year. Alliance credited the strength in the overall markets for the increase; on Nov. 30, 2000, assets under management were $443 billion.

As students prepare for their college board exams, here is an analogy that isn't found in a Princeton Review manual but probably is a college prerequisite:

Morningstar Investment Services, a registered investment advisor and subsidiary of fund researcher Morningstar, said today that three distributors have opted to use its new investment management service, which will be available next month.

Turner Investment Partners of Berwyn, Pa. said today that it will close its Small Cap Value fund to new investors on Dec. 28 in order to allow the fund to maintain its ability to invest in small companies.

Those saving for their retirement through a direct-deposit investment plan provided by Fidelity Investments will now be able to sock money away for college in the same fashion, the company said this week.

U.S. Bancorp said this week that it will change its name from U.S. Bancorp Piper Jaffray Asset Management to U.S. Bancorp Asset Management following changes within the organization and the mergers of several companies.

USAA, a financial services company that serves military personnel, said today that CEO Bob Davis will replace General Robert Herres as chairman of the organization. Davis, who joined USAA in 1996, became CEO in 2000.