Investors have been assured of no expected change to fund management style on its US Equity Income funds as River Road, and Henry Sanders, remain involved with the portfolios.
With the deal expected to complete in Q3, Aviva Investors will remain committed to the US market, retaining its business based in Chicago and is continuing to see strong sales across its Global High Yield and securitised products, global convertibles and real estate multi-manager and hedge fund of funds.
Group chief strategy and development officer James Windsor said: "The transaction is in line with Aviva Investors' strategy of simplifying its business and moving towards an integrated operating model and organisation structure. A simpler, more focused business will help Aviva Investors become a stronger third party manager and increase its contribution to the group.
"Aviva Investors is focused on becoming a fully integrated asset manager offering products that deliver client outcomes with low volatility. A boutique US equity manager does not fit with this strategy. We look forward to a continued relationship with River Road."
The sale represents a modest premium to group NAV and will increase both the IGD solvency surplus and economic capital surplus by £100m.
