Nationwide Reaches Agreement to Sell Active Asset Management Business to Aberdeen Asset Management Inc.Nationwide Financial continues transition to sub-advised mutual fund platform COLUMBUS, Ohio -- Nationwide announced today that it has entered into an agreement to sell its active asset management business to Aberdeen Asset Management Aberdeen Asset Management plc is an international investment management group, managing assets for both institutions and private individuals from offices around the world. It is based in Aberdeen, Scotland and listed on the London Stock Exchange (LSE: ADN). Inc. (Aberdeen). Nationwide's active asset management business is owned by Nationwide Mutual Insurance Company Nationwide Mutual Insurance Company & Affiliated Companies is a group of large U.S. insurance and financial services companies based in Columbus, Ohio. History Beginnings as Farm Bureau Mutual , Nationwide Financial Services, Inc. (NYSE NYSE See: New York Stock Exchange : NFS (Network File System) The file sharing protocol in a Unix network. This de facto Unix standard, which is widely known as a "distributed file system," was developed by Sun. See file sharing protocol and WebNFS. NFS - Network File System ), Nationwide Fund Advisors, and Nationwide SA Capital Trust. The transaction is expected to close and be effective on Oct. 1, 2007. Portfolio managers, analysts, and support personnel are included in the transaction, as well as resources and technology. The group will continue operating at its current office location in West Conshohocken, Pa. Immediately upon the closing, Aberdeen will sub-advise 21 Nationwide Mutual Funds and nine Nationwide Variable Insurance Trust (NVIT NVIT Nicola Valley Institute of Technology (California) ) Funds, representing about $7 billion in assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. , as of Aug. 31, 2007. "This transaction is an important step in our efforts to transition our mutual fund business to a sub-advised platform," said Mark R. Thresher, president and 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 Nationwide Financial. "Using a sub-advised platform enables us to offer world-class money managers and improve the competitiveness of our investment offerings by strengthening our ability to help consumers prepare for and live in retirement." As announced on May 1, 2007, NFS purchased certain parts of NWD NWD New World Disorder (New World Disorder films / Freeride Entertainment) NWD Northwestern Division (US Army Corps of Engineers) NWD Nation-Wide Dialing NWD New World Dictionary NWD National Weather Digest Investment Management (formerly Gartmore Global Investments) from Nationwide Corporation, a subsidiary of Nationwide Mutual Insurance Company and renamed the organization Nationwide Funds Group to better align with the Nationwide brand. NFS also announced at that time that its strategy was to transition all of the assets to a sub-advised platform. Nationwide Fund Advisors, part of Nationwide Funds Group, located in Conshohocken, Pa., will continue to serve as the fund arm of Nationwide Financial, and will remain under the leadership of John H.Grady, who reports directly to Mark R.Thresher. "The active asset management team has a very successful track record. I'm confident that John Grady, his team at Nationwide Funds Group and Aberdeen will make this a seamless transition for associates, shareholders, and clients" said Thresher. "We look forward to working with Aberdeen as our active asset management team joins Aberdeen and becomes a sub-adviser to Nationwide Funds." "This transaction broadens Aberdeen's U.S. operations with the addition of a highly regarded equities team" commented Martin Gilbert, Chief Executive of Aberdeen. "The team comes with an excellent track record and a broad range of complementary U.S. equity strategies. It continues our strategy of acquiring bolt-on businesses that enhance our product range and geographic reach, and complement the continuing strong organic growth of our existing operations. We look forward to working with our new colleagues in the years ahead," Gilbert concluded. About Nationwide Financial Nationwide Financial Services, Inc. (NYSE: NFS), a publicly traded company publicly traded company A company whose shares of common stock are held by the public and are available for purchase by investors. The shares of publicly traded firms are bought and sold on the organized exchanges or in the over-the-counter market. based in Columbus, Ohio, provides a variety of financial services that help consumers invest1 and protect their long-term assets, and offers retirement plans and services through both public- and private-sector employers. It's part of the Nationwide group of companies, which offers diversified insurance and financial services. The group is led by Nationwide Mutual Insurance Company, which is ranked No. 104 on the Fortune 500 based on 2006 revenue2. To obtain investor materials, including the Company's 2006 Annual Report to Shareholders, 2006 Annual Report on Form 10-K, quarterly statistical supplements and other corporate announcements, please visit the investor relations section of the Company's Web site at www.nationwide.com. For more information about Nationwide Funds, please visit www.nationwidefunds.com. Nationwide, Nationwide Financial, the Nationwide Framemark and On Your Side are federally registered service marks of Nationwide Mutual Insurance Company. About Aberdeen Asset Management Inc Aberdeen Asset Management Inc ("AAMI AAMI Association for the Advancement of Medical Instrumentation AAMI Age Associated Memory Impairment AAMI American Ammunition, Inc (stock symbol) AAMI Australian Associated Motor Insurers Limited AAMI African-American Male Initiative ") is a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of UK-listed Aberdeen Asset Management PLC, an independent asset management company. Aberdeen Asset Management PLC is headquartered in Aberdeen, Scotland. Aberdeen has experienced rapid expansion since 1983 and is today one the UK's largest independent fund managers. Aberdeen Asset Management PLC manages USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. $178.8 billion (PS75.9 billion), at 30 June 2007, chiefly in equities, fixed income and property on behalf of clients around the world. For more information, visit www.aberdeen-asset.com. 1 Nationwide Investment Services Corporation, member NASD NASD See: National Association of Securities Dealers NASD See National Association of Securities Dealers (NASD). . In MI only: Nationwide Investment Svcs. Corporation. 2 Fortune Magazine, April 2007 |
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