Investment manager, Federated Investors has completed a transaction resulting in the acquisition of certain assets of Touchtone Advisors related to the management of two mutual funds.
In connection with the transaction, shareholders of the two Touchtone mutual funds voted separately by fund to approve the reorganization of $162.8m in assets into Federated Clover Value Fund from Touchstone Value Opportunities Fund, and $94.5m in assets into Federated Clover Small Value Fund from Touchstone Diversified Small Cap Value Fund.
Earlier in 2008, Federated has purchased substantially all of the assets of Clover Capital Management, which had sub-advised the Touchstone Value Opportunities Fund and Touchstone Diversified Small Cap Value Fund, since their respective inception dates. Since that time, Clover’s business relating to the management of these two Touchstone funds has been operated within the Federated Clover Investment Advisors division of Federated Global Investment Management, a wholly-owned subsidiary of Federated.
Federated Clover Value Fund invests in stocks with a particular focus on stocks issued by larger, established companies that appear to be temporarily undervalued. Federated Clover Small Value Fund invests in small-capitalization stocks that trade at values relative to cash flow, book value, financial strength and historical valuations, according to Federated Investors.
