Putnam Investments said Wednesday that Mackenzie Investments of Toronto, a sister company, had named it the sub-advisor to two fixed-income funds with about $1.75 billion in assets. Putnam assumed portfolio management responsibilities for the two funds — the Mackenzie Sentinel Corporate Bond Fund and Mackenzie Sentinel Registered North American Corporate Bond Fund – on June 1.
Both Mackenzie Investments and Putnam Investments are affiliates of Power Financial Corporation of Canada.
“We are pleased that Mackenzie Investments has selected Putnam to help manage a number of its key fixed-income solutions in the Canadian marketplace,” said Putnam President and CEO Robert Reynolds (left) in a press release.“The selection is a solid endorsement of Putnam’s strong, time-tested investment work in the corporate credit realm and the strong reputation the firm has built in the marketplace.”
Putnam’s fixed-income team now manages about $55 billion of retail and institutional assets, according to Reynolds. Putnam has “an unusually deep bench, wide breadth of sector expertise and comprehensive research and analytical capabilities” in areas such as investment-grade and high-yield credit, liquid markets, structured credit, emerging-market debt, money markets, portfolio construction and tax-exempt securities, he adds.
Mackenzie Investments has about $73 billion in assets under management as of April 30. It is a member of the IGM Financial group of companies.
Putnam has about $130 billion in assets under management, including mutual fund assets of $71 billion and institutional assets of $59 billion.
At a recent meeting in Boston, Reynolds criticized proposals by Washington deficit hawks to cap or eliminate tax incentives that encourage Americans to save for retirement, calling such moves “short-sighted.”