Look out for a switch in sub-advisers for one Touchstone Investments fund.
As of today, Fifth Third Asset Management has been terminated as sub-adviser to the Touchstone Micro Cap Value Fund, according to an Securities and Exchange Commission
Spokeswoman Barbara Grimsley for Fifth Third told Money Management Executive that: "Touchstone is making this change in anticipation of Fifth Third's pending transaction with Foundry Partners"
Foundry represents a separate entity formed as a result of the purchase of certain assets associated with Fifth Third's investment teams in Minneapolis and Cleveland by Tim Ford, Seamus Murphy and Amy Denn, current members of Fifth Third's management team. Fifth Third and Foundry plan to enter into a cooperative sales and service agreement to support existing and future client relationships.
The transaction is scheduled for sometime in the first quarter of 2013, Grimsley said.
According to the filing, Russell Investments was selected as sub-adviser based on its "experience and record in transition management." The appointment also allows Touchstone a longer period of time to choose a permanent sub-adviser to the fund, the filing stated.
Touchstone would not comment on the sub-adviser change. Russell could not be reached for comment.
The Micro Cap Value Fund bets on micro-cap companies within the Russell Micro Cap Value Index. Senior portfolio manager Wayne Hollister and Ben Linford of Russell will manage the fund.
