AmSouth is the second band to exit the mutual fund industry in the past week, following
At AmSouth, management decided to unload its mutual funds to achieve greater returns in institutional and individual money management, AmSouth's major focus.
"Because it has become more difficult and expansive for small mutual fund families to compete effectively, we have decided to focus on the key services that have distinguished our asset management business for the past 80 years," said AmSouth Chairman, President & CEO Dowd Ritter, in a statement.
AmSouth expects a pretax gain in of $50 million in the next fiscal year as the result of the deal.