Advisors Asset Management

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Advisors Asset Management, Inc.
Private
Industry Financial services
Founded 1979
Headquarters Monument, Colorado
Area served
United States
Key people
Scott Colyer
(CEO & Chief Investment Officer)
Andrew S. Williams, (President)
Products Unit investment trust
Mutual funds
separately managed accounts
Fixed Income
structured products
Website http://www.aamlive.com

Established in 1979, Advisors Asset Management, Inc. (AAM) has been a resource that provides investment products and portfolio support to broker-dealers and advisors. They work with both independent and large Wall Street firms providing access to fixed income investments, structured products, unit investment trusts, mutual funds, and separately managed accounts.[1] Additionally, the firm provides advisors with a variety of financial tools and services including portfolio reviews and analysis, capital markets and institutional fixed income trading, and education.[2]

AAM has over 35 years of experience in the fixed income markets and is a United States Securities and Exchange Commission (SEC) registered investment company and member of the Financial Industry Regulatory Authority (FINRA) and Securities Investor Protection Corporation (SIPC). Headquartered in Monument, Colorado, the company has offices spanning across the United States[3] and employs over 250 people.[4]

History[edit]

1979–2002[edit]

In 1979, Jim Dillahunty founded Advisors Asset Management, which was known as Fixed Income Securities, Inc. (FIS) in San Diego, California.[5] In 1992, the firm began to streamline its technology trading platform and released Bond Express, one of the first electronic databases for dealer bond listings.[6] Three years later, Barra, Inc., who had invested heavily in the product's development, purchased FIS's interest in Bond Express.[7]

In 1998, Scott Colyer founded Sterling Resources, a fixed income and wealth preservation company for high-net-worth clients and institutions in Monument, Colorado. In 2001, FIS and Sterling Resources merged under Fixed Income Securities, LLC. The merger combined FIS's established account base and IT capabilities with the distribution, trading, and analytical capabilities of Sterling Resources. The firm established its niche by specializing in fixed income investments and portfolio support services exclusively for financial professionals and broker-dealers.[8]

2003–2007[edit]

FIS announces its new Advisors Asset Management (AAM) division to distribute unit investment trusts (UITs). In 2004, AAM became its own UIT sponsor acquiring Matrix Unit Trust, a UIT sponsor based out of Wichita, KS. These proprietary UITs were distributed under the AAM brand name.[9] The AAM division also launched a separately managed account (SMA) service consisting of advisory and sub-advisory fixed income portfolio management platforms.[10]

In early 2006, AAM announced a strategic alliance with Credit Suisse, adding structured products to its distribution offerings.[11] Soon thereafter, they announced an agreement to distribute a select group of Merrill Lynch products to registered investment advisors and independent broker-dealers. Focused mainly on structured products, this agreement with Merrill Lynch's Global Markets & Investment Banking (GMI) division provided the firm access to traditional equity and debt investment securities, such as convertible bonds, preferred stocks, and government agency issues.[12] AAM also added additional structured product sponsors to its offerings, including ABN AMRO and HSBC.[13]

In January 2007, AAM increased its assets under supervision by being named the successor sponsor of Defined Asset Funds (DAF) UIT portfolios formerly sponsored by Merrill Lynch.[14] They were also appointed the successor sponsor of approximately $1.8 billion of Citigroup's Tax Exempt Securities Trusts (TEST) assets the following year.[15] Later that year, AAM partnered with Envestnet in October to create a unified wealth management solution on the Envestnet platform by adding a fixed income component to their existing portfolio services.[16]

2008–present[edit]

In an effort to strengthen name recognition and better define their expanding product offerings, FIS and its AAM division unified under one brand name and officially became Advisors Asset Management, Inc. in June 2008.[17]

In 2009, AAM launched a new Institutional Sales and Trading division in Manhattan, New York to expand its fixed income product distribution to the institutional markets.[18]

In April 2012, AAM’s High 50® Dividend Strategy Portfolio exceeded $1 billion in assets.[19] In September 2012, AAM was named to Inc. Magazine's list of the 5000 fastest growing companies for the fourth year in a row, ranking 160 in the financial services industry.[20]

In January 2014, AAM began its partnership with ISI, Inc. to launch a new unit investment trust (UIT).[21] In June 2014, AAM surpassed $10 billion in unit investment trust assets.[22]

In March 2015, AAM began its partnership with Cyrus J. Lawrence LLC (the former investment management division of ISI, Inc.) following ISI Group’s acquisition by publicly held Evercore Partners in October 2014.[23] Financial services industry veteran John Radtke also joined the firm in March 2015 as Executive Vice President of Capital Markets and Capital Markets Sales. The firm plans to leverage Mr. Radtke's extensive expertise related to the fixed income markets to help advisors identify new investment opportunities in light of changing market conditions, and grow its capital markets teams.[24]

In March 2016, AAM announced its strategic partnership with Rothschild Asset Management, the U.S. asset management business of Rothschild & Co ("Rothschild"). The partnership will combine AAM’s national distribution model with Rothschild’s investment management capabilities.[25] In June 2016, AAM expanded its strategic partnership with Rothschild Asset Management to become the distributor for select separately managed accounts (SMAs).[26] In September 2016, AAM expanded its partnership with global investment manager, Cohen & Steers. Cohen & Steers became the portfolio consultant to several of AAM’s unit investment trusts, all of which were co-branded.[27]

In February 2017, AAM hired Charles Sickles as the firm’s Managing Director and Head of Wholesale Distribution and will lead AAM’s distribution efforts across all of its partner firms. Mr. Sickles has over 27 years of experience and previously served as managing director at BlackRock.[28] In March 2017, AAM was recognized as an industry leader in structured products by mtn-i, a London-based global provider of market information for structured notes, private placements and MTN market coverage. AAM received prominent distinctions in two categories: Structured Investment Advisor of the Year and U.S. Deal of the Year. The award for U.S. Deal of the Year was given to AAM and Citi for its successful partnership developing the USD4m Infrastructure Stock Basket-Linked Notes, due 2020.[29] In September 2017, AAM surpassed $1 Billion in Cyrus J. Lawrence UIT Sales.[30]

References[edit]

  1. ^ "Bloomberg Businessweek". 
  2. ^ https://aam.us.com/aamweb/PublicSite/AAMHome.aspx
  3. ^ "FINRA BrokerCheck". 
  4. ^ Phinisee, Tamarind. (2010). Phinisee, Tamarind (July 25, 2010). "Investment advisory firm is adding space, employees".  San Antonio Business Journal. Retrieved from http://sanantonio.bizjournals.com/
  5. ^ http://www.newparadigms.com/about.html
  6. ^ PR Newswire. (1993). "First Computer Program to Provide Mid-Dealer Market with One-Step Access to Multiple Bonds and Multiple Dealers".  Retrieved from The Free Library.
  7. ^ PR Newswire. (1998). "BARRA Announces Plans to Acquire 100 Percent of Bond Express".  Retrieved from Highbeam Business.
  8. ^ PR Newswire. (2001). "Fixed Income Securities and Sterling Resources Announce Merger Plans".  Retrieved from The Free Library.
  9. ^ "Investment Company Act of 1940 – No Action Letter (2004, April 29)". Retrieved from https://www.sec.gov.
  10. ^ https://www.aam.us.com/aamweb/PublicSite/SeparatelyManagedAccount.aspx
  11. ^ PR Newswire. (2006, January 31). "Fixed Income Securities (FIS) to Distribute Reverse Convertible Products for Credit Suisse".  Retrieved from HighBeam Research.
  12. ^ Structured Products magazine. “Bridging the Gap.” (2006, Apr 01).
  13. ^ "Archived copy". Archived from the original on 2011-07-07. Retrieved 2010-10-18. 
  14. ^ PR Newswire. (2007, January 18). "Advisor's Asset Management Appointed Sponsor of Merrill Lynch Defined Asset Funds".  Retrieved from HighBeam Research.
  15. ^ Press Release. (2008, January 28). "Advisors Asset Management Appointed Sponsor of Citigroup Tax-Exempt Securities Trust (TEST) Assets" (PDF). 
  16. ^ Business Wire. (2007). "Envestnet Asset Management and Fixed Income Securities, LP Team Up to Offer Customized Fixed Income Solutions". Business Wire. 2007.  Retrieved from http://findarticles.com/
  17. ^ Press Release. (2008, June 16). "AAM and FIS Unite Under AAM Brand".  Retrieved from The Free Library.
  18. ^ Press Release. (2009, May 11). "AAM Hires Two Executive Vice Presidents for New York Office.]".  Retrieved from The Free Library.
  19. ^ Press Release. (2012, April 3). "ADVISORS ASSET MANAGEMENT'S HIGH 50 DIVIDEND STRATEGY PORTFOLIO SURPASSES $1 BILLION IN ASSETS.]" (PDF). 
  20. ^ "Meet the 2012 Inc. 5000: A List of America's Fastest-Growing Private Companies". Inc. Magazine. (2012, September) Retrieved March 4, 2014.
  21. ^ Press Release. (2014, January 28). "Advisors Asset Management Partners With ISI Inc. To Launch New Unit Investment Trust]". 
  22. ^ Press Release. (2014, September 8). "AAM Surpasses $10 Billion In Unit Investment Trust Assets]". 
  23. ^ Press Release. (2015, March 24). "AAM Partners with Cyrus J. Lawrence]". 
  24. ^ Press Release. (2015, March 16). "Fixed Income Veteran John Radtke Joins AAM]". 
  25. ^ Press Release. (2016, March 30). "Advisors Asset Management Announces Strategic Partnership with Rothschild Asset Management]". 
  26. ^ Press Release. (2016, June 23). "Advisors Asset Management Expands Strategic Partnership with Rothschild Asset Management]". 
  27. ^ Press Release. (2016, September 21). "Advisors Asset Management expands partnership with Cohen & Steers]". 
  28. ^ Press Release. (2017, February 23). "Advisors Asset Management names head of wholesale distribution]". 
  29. ^ Press Release. (2017, March 15). "Advisors Asset Management Recognized as Industry Leader in Structured Products]". 
  30. ^ Press Release. (2017, September 7). "Advisors Asset Management Surpasses $1 Billion in Cyrus J. Lawrence UIT Sales]".