MUFG Investor Services has completed its acquisition of Rydex Fund Services, a fund administration focused on 1940 act mutual funds.
Rydex was purchased from Guggenheim Investments, the asset management and advisory business of Guggenheim Partners. Terms of the deal were not disclosed.
According to MUFG, the acquisition of Rydex is intended to complement and build on the existing service offering for alternative investment fund managers, adding expertise on regulated 1940 Act mutual funds and exchange-traded funds.
The acquisitions adds $52 billion in assets under administration, mainly consisting of Guggenheim- and Rydex-branded mutual funds, exchange-traded products and closed-end funds, which will continue with Guggenheim as their investment advisor.
This brings the assets under management of MUFG Investor Services to a total of $422 billion.
Michael Rucci, CEO of MUFG Fund Services in the US, said: “Rydex Fund Services is a valuable addition to our business, particularly at a time when demand for liquid alternative strategies and their importance in portfolio construction are growing at a fast pace.”
“Through this acquisition, we are perfectly placed to offer new and innovative solutions and ensure our clients take advantage of the best market opportunities.”
Nikolaos Bonos, head of Rydex Fund Services, added: “This partnership is a significant step forward for Rydex Fund Services, as it will create greater opportunities for our employees and clients, and enable us to continue the growth of the business in the future.”
