Charles Schwab Investment Management, the asset management arm of Charles Schwab & Co. said that it is adopting the entire family of U.S. mutual funds from AXA Rosenberg, pending AXA shareholder approval.

Adopting a fund family is different than acquiring it in that the purchaser does not run the fund or funds. The investment management contract changes hands, but the original management firm is kept on board as a sub-advisor.

Under the proposed deal, Schwab will become the investment advisor to the AXA Rosenberg Funds, with $1.4 billion in assets. AXA will continue the investment management of the funds as a sub-advisor. If the deal is approved, Schwab will rename the funds to reflect a new family. Each AXA fund will be co-branded under the Landus Rosenberg name to be included in the Landus Funds affiliated family of funds.

"We see tremendous value in the AXA Rosenberg product line and investment process because of their consistent track record and reputation in the investment community," said Randy Merk, president of CSIM in a statement.

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