Insurance asset manager Conning and The Phoenix have entered into a multiyear investment management agreement under in which Conning will manage Phoenix's publicly traded fixed income general accounts insurance assets, valued at approximately $8bn in June.
Conning is also acquiring Goodwin Capital Advisers, a total-return fixed-income investment management subsidiary of The Phoenix Companies.
Goodwin Capital Advisers will retain its name, investment philosophy, process and investment team as a subsidiary of Conning led by senior portfolio managers Cynthia Beaulieu and Lynn Ryan.
The team will continue to manage approximately $1bn of third-party assets primarily in the liability-driven institutional segment and be an integral part of the management of Phoenix’s general account assets, leveraging Conning’s deep investment resources and technology platform.
With the deal, Conning said the agreement and the acquisition will increase the company’s assets under management to more than $85bn, and expand its global investment capabilities in total return fixed income for current and new insurance and institutional clients.
Conning chief investment officer Richard Sega said his transaction with Phoenix is a natural extension of the core investment capabilities that gives the additional scale to service clients, while extending the service offerings for liability-driven institutions.
The acquisition is expected to close in the fourth quarter of 2011, subject to customary closing conditions. The investment management agreements are effective upon and subject to the closing of the acquisition.
Financial terms of the acquisition were not disclosed.