IDEX Mutual Funds, a subsidiary of the AEGON Group, has replaced GE Asset Management as the sub-advisor to two of its funds, replacing it with American Century Investments, according to a company regulatory filing.
IDEX is seeking shareholder approval to liquidate its GE U.S. Equity Fund and merge the assets with the larger IDEX American Century Income & Growth Fund, according to the filing.
IDEX has also replaced GE as the sub-advisor to its IDEX GE International Equity Fund, handing the funds advisory duties to American Century, said Dave Bullock, CEO of Transamerica Capital, the IDEX Funds distribution arm. As a result of the switch in management, there will be a 10 basis point increase in fees, according to the filing.
Bullock would not specify why IDEX replaced GE, but said that the firm considers "performance, marketability, ability to garner assets and investment style," when it hires or replaces a sub-advisor. "GE is a good company and we had a good relationship over the years, but when we took those factors into consideration, American Century was a better fit," he said.
The IDEX GE U.S. Equity Fund held $7.3 million as of Jan. 14 and the American Century Income & Growth Fund held $22.9 million, according to the filing.