Asset management buyers beware. The high premiums that acquirers have been willing to pay for growth-style or publicly-traded firms may soon prove to be too high, as these two brands of asset management firms may soon be out of favor.

This is the conclusion of a recent analysis of merger and acquisition valuations by Putnam Lovell Securities of San Francisco. The report, "Asset Manager Style and M&A Valuation: Transaction Pricing Rotates in Synch with Market Styles," was published in August. It was written by Neil Epstein, vice president and director of research at Putnam Lovell.

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