Constellation Investment Management Company Launched In Spin-Off from Turner Investment Partners.Business Editors BERWYN, Pa.--(BUSINESS WIRE)--Feb. 9, 2004 Mutual Funds Will Feature Institutional Asset Managers Turner, Clover clover, any plant of the genus Trifolium, leguminous hay and forage plants of the family Leguminosae (pulse family). Most of the species are native to north temperate or subtropical regions, and all the American cultivated forms have been introduced from Capital Management and Chartwell Investment Partners Berwyn, Pennsylvania-based investment manager Turner Investment Partners today confirmed plans to spin off part of its fund distribution and administration operations to a newly established firm, Constellation Constellation, ship Constellation (kŏnstĭlā`shən), U.S. frigate, launched in 1797. It was named by President Washington for the constellation of 15 stars in the U.S. flag of that time. Investment Management Company, which will provide institutionally managed mutual funds primarily to financial intermediaries Financial intermediaries institution that provide the market function of matching borrowers and lenders or traders. . John Grady ''For the author, see John Grady (Author) John Grady (June 18, 1860 - July 15, 1893) played one year of professional baseball for the 1884 Altoona Mountain Citys. Mainly an outfielder, Grady played in 9 games, getting 36 at bats. His batting average was .306. , formerly chief operating officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. of Turner, will lead Constellation as president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , and brings with him to the new company a team of nine Turner colleagues with expertise in a variety of areas in fund distribution and administration. The spin-off The situation that arises when a parent corporation organizes a subsidiary corporation, to which it transfers a portion of its assets in exchange for all of the subsidiary's capital stock, which is subsequently transferred to the parent corporation's shareholders. of Constellation, which will be based in Berwyn, is expected to be completed by April. In conjunction with the establishment of Constellation, the Board of Trustees board of trustees Politics The posse of thugs who oversee an institution's administration. See Board of directors. of the Turner Funds has submitted a filing to the Securities and Exchange Commission seeking shareholder approval to reorganize re·or·gan·ize v. re·or·gan·ized, re·or·gan·iz·ing, re·or·gan·iz·es v.tr. To organize again or anew. v.intr. To undergo or effect changes in organization. 12 funds which are currently part of the Turner Funds group into the new Constellation Funds complex. Under the proposal, Constellation would be named adviser to the funds, with sub-advisory mandates awarded to Turner, Clover Capital Management, and Chartwell Investment Partners allowing each fund's investment team to continue in current roles managing the funds. As part of the spin-off and proposal to fund shareholders, Turner's four-person fixed-income investment team would transfer to Chartwell and remain in current portfolio-management roles for the three fixed-income funds included in the proposed reorganization. "Constellation's greatest asset will be the quality of the investment managers with which we'll work," said Mr. Grady. "Our independence gives us the flexibility to draw from the best of the institutional asset management universe, and to develop products and services designed specifically for the needs of financial intermediaries and their clients. We're launching with a terrific team of professionals who are experts in the fund arena and who will be entirely focused on our customers." "As our fund operations have grown, the sub-advised funds have reached a scale which allows them to succeed independently of Turner," said Tom Trala, Turner's chief financial officer, who was also appointed to the role of chief operating officer for Turner in January. "Because the Turner brand is so closely identified with the firm's roots as a growth equity investor, it makes sense to give the sub-advised funds an opportunity to establish a distinct identity, and an independent management team which can focus on these funds and related distribution and administration functions as its top priority. At the same time, by serving as a sub-adviser to a number of funds in the Constellation Funds group, Turner can further diversify diversify To acquire a variety of assets that do not tend to change in value at the same time. To diversify a securities portfolio is to purchase different types of securities in different companies in unrelated industries. its means of distribution, while concentrating internal resources on our core strengths as an institutional asset manager and leading growth-oriented investor." Not affected by the proposed reorganization are nine equity funds managed by Turner which will remain within the Turner Funds group: Turner Concentrated Growth, Turner Disciplined Large Cap Growth, Turner Large Cap Growth Opportunities, Turner Midcap mid·cap adj. 1. Or or relating to corporations whose retained earnings and outstanding shares of common stock have a value between those of small cap companies and large cap corporations. 2. Growth, Turner Small Cap Growth, Turner Micro Cap Growth, Turner Technology, Turner New Enterprise, and Turner Small Cap Equity. Included in the spin-off will be Turner's broker-dealer subsidiary, Turner Investment Distributors, which will be renamed Constellation Investment Distribution Company and continue to serve as the distributor for the Turner Funds, the C&B Portfolios, the Hilliard Lyons Growth Fund, and the Rockland Small Cap Growth Fund, in addition to distributing the new Constellation Funds. Pending shareholder approval of the reorganization, the Constellation Funds would total more than $1.3 billion in assets. About Constellation Constellation companies include federally-registered investment adviser Constellation Investment Management Company, the Constellation Funds mutual fund complex, and the registered broker-dealer Constellation Investment Distribution Company, distributor for the Constellation Funds, Turner Funds, C&B Portfolios, the Hilliard Lyons Growth Fund, and the Rockland Small Cap Growth Fund. Based in Berwyn, Constellation is majority-owned by its employees. About Turner Turner Investment Partners, 100%-owned by its employees, was founded in 1990 in Berwyn to specialize spe·cial·ize v. 1. To limit one's profession to a particular specialty or subject area for study, research, or treatment. 2. To adapt to a particular function or environment. in growth-equity investing, and currently manages more than $12 billion for institutions and individuals. More information on Turner Investment Partners and the Turner Funds is available at www.turnerinvestments.com. |
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