New products introduced over the last week include the addition of the Brevan Howard strategy to one of its funds and Prospera Financial Services’ launch of a new virtual assistant program.
In addition, Franklin Templeton completed a majority stake acquisition in K2 Advisors, MFS added to its target date fund lineup and Hennessy Advisors completed its merger with FBR Funds.
Here are the latest developments of interest to advisors:
1) Franklin Templeton Buys Majority Stake in K2 Fund of Hedge Funds
Franklin Templeton Investments announced Thursday that it has completed the acquisition of a majority stake in K2 Advisors Holdings LLC, an independent fund of hedge funds manager, enhancing Franklin Templeton’s alternative investments and multi-asset solutions platforms.
The proceeds will be used by K2 to purchase all the equity currently held by TA Associates and retire all OF K2’s debt obligations. The current management of K2 has not sold any of its interests and has not received any up-front consideration in this transaction. Franklin Templeton will acquire the remainder of K2 over a multiyear period.
Morgan Stanley served as financial advisor to Franklin Templeton, and Bank of America Merrill Lynch and Freeman & Co. served as financial advisors to K2.
K2 was co-founded in 1994 by William A. Douglass III and David C. Saunders, managing directors. They have entered into long-term employment arrangements in connection with the transaction and will continue to manage the business. No changes are planned for the K2 investment management processes.
2) MFS Adds 5 Funds to Lifetime Funds Target Date Suite
MFS Investment Management announced Friday that it has added five funds t its Lifetime Funds target date suite, now offering funds in five-year increments through 2055. The new funds are designed to offer advisors and investors greater flexibility and choice.
The new funds are MFS Lifetime 2015 Fund (LFTDX), MFS Lifetime 2025 Fund (LTTAX), MFS Lifetime 2035 Fund (LFEAX), MFS Lifetime 2045 Fund (LTMAX) and MFS Lifetime 2055 Fund (LFIAX).
The funds are available through financial advisors as well as through retirement plan platforms.