A statement posted late Tuesday on Columbia Management's website announced, "Bank of America to Retain Columbia Management's Cash Business." It says, "After a review of various options, Bank of America has decided to retain Columbia Management's cash business. This business is an important complement to the suite of banking, treasury and credit products currently offered to its corporate and individual clients." (See also our Oct. 1 Crane Data News article, "Bank of America Sells Half of Columbia, Keeps Money Funds For Now".)
Columbia's statement continues, "Bank of America's ownership of the cash management platform allows for strategic advantages in the marketplace and provides integral services to its distinguished client base. The cash business will remain part of Bank of America's Global Wealth & Investment Management organization."
"During the transition, the portfolio management team will continue to align with Paul Quistberg, head of liquidity strategies, reporting directly to Colin Moore, Columbia Management's chief investment officer. This investment team's disciplined investment process is unchanged and remains focused on preserving capital, maintaining liquidity and providing competitive yields. Every effort will be made to ensure a seamless transition for fund shareholders, advisers, institutional clients, consultants and business partners," BoA says.
They add, "The money market funds sponsored by Columbia Management will be rebranded on or about the closing of the long-term business transaction with Ameriprise, which is expected to occur in the spring of 2010 pending all required approvals. We are committed to communicating more information as soon as possible regarding branding, personnel decisions and other transition updates. For now, our cash clients continue to benefit from an experienced investment team and the strength and resources of Bank of America. If you have any questions, please call your relationship manager, dedicated service team or representative."
