Adds INVESCO as Fifth Sub-advisor on Special Equity Fund

Diversified Investment Advisors has appointed Aeltus Investment Management and Credit Suisse Asset Management as sub-advisors for its Growth and Equity Fund, the company announced today.

Putnam Investments was the previous sub-advisor for the fund, according to Morningstar. No one at Diversified was available for comment as to the nature of the replacement.

After returns of 34.7% in 1998 and 30% in 1999, the fund was down 17.9% last year and has a year-to-date return of -18.6%, according to Morningstar.

Aeltus and Credit Suisse will each manage 50% of the fund's assets, which now stand at $472 million, according to Morningstar. Aeltus will provide 'structured' core management to control volatility and Credit Suisse will serve as 'active' core manager to provide excess return potential, according to Diversified.

'We've achieved outstanding success using the multi-manager approach in other funds and we expect it to benefit investors in this Fund as well,' said Tom Schlossberg, CEO of Diversified, in a statement.

Diversified also added INVESCO as a fifth sub-advisor for its Special Equity Fund, the company announced today. INVESCO joins Goldman Sachs Asset Management, Husic Capital Management, RS Investment Management and Westport Asset Management.

Each sub-advisor will manage approximately 20% of total fund assets, which are $364 million, according to Morningstar. The addition of INVESCO as a structured small-cap core manager adds risk control to the management of the fund, according to Diversified. The Special Equity Fund has a year-to-date return of 0.2%, after returns of 25.3% in 1999 and -4.7% in 2000, according to Morningstar.

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