Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
USAA announced on Nov. 6 that Victory Capital Holdings, Inc., an investment industry leader, will acquire the USAA Asset Management Company, which includes our Mutual Fund and ETF businesses as well as the USAA 529 College Savings Plan. The transition is expected to conclude in the second quarter of 2019. From there, it will take approximately 12 to 18 months to transfer USAA Mutual Fund and ETF accounts to Victory Capital.
The decision reflects USAA’s unwavering mission to provide highly competitive products and services for the military community. Members will benefit from expanded investment capabilities, including access to double the number of Mutual Funds and triple the number of ETFs at competitive prices, along with USAA’s and Victory Capital’s investing expertise. USAA will continue to provide highly competitive products and services across the banking and life, auto, home and health insurance businesses.
Members do not need to take action on their accounts.
“We continually look to deliver on our mission, facilitating the financial security of members through highly competitive products and services for the military community,” said Stuart Parker, Chief Executive Officer, USAA. “We believe Victory Capital is well positioned to provide a broader selection of leading-edge investment solutions to our members over the long term while maintaining the high standards of service that our members expect. We are committed to working with employees and members to ensure a smooth transition.”
Victory Capital and its operational business providers intend to establish a significant presence in San Antonio and offer positions to more than 300 USAA employees. Fewer than an additional 100 employees may be affected and could eventually leave USAA. USAA has committed to providing care and support for these individuals.
About the Agreement
Under terms of the purchase agreement, Victory Capital will acquire USAA Asset Management Company for $850 million plus the opportunity for additional contingent payments based on future business performance. All net proceeds from this transaction will directly benefit members, not the bottom line. For example, after deal closing and account conversion, USAA will improve the competitiveness of our banking and insurance products, and distribute an appropriate amount as part of the annual member distribution process in 2019.
Additionally, Victory Capital also announced plans to develop a nationwide financial literacy platform designed to support the military community, USAA members and their families.
USAA serves more than 12.7 million members, up 300,000 members for the year to date. It employs nearly 34,000 people, an increase of 1,000 so far this year, and has a net worth of $30 billion. USAA is one of only a handful of organizations to maintain the national credit rating agencies’ highest possible ratings.
Click here for more information and FAQs.
Consider the investment objectives, risks, charges and expenses of the USAA 529 College Savings Plan (Plan) carefully before investing. Call 800-292-8825 to request a Plan Description and Participation Agreement containing this and other information about the Plan from USAA Investment Management Company, Underwriter and Distributor. Read it carefully before investing. If you or the beneficiary are not residents of the state of Nevada, consider before investing whether your or the designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state's qualified tuition program. Please consult your tax advisor.
Interests in the USAA College Savings Plan™ (Plan) are municipal fund securities issued by the Nevada College Savings Trust Fund (Trust). The value of an investment in the Plan will vary with market conditions. The Plan is administered by the Board of Trustees of the College Savings Plans of Nevada (Board). USAA Investment Management Company provides investment management services to the Portfolios, and markets and distributes the Plan. Ascensus Broker Dealer Services, Inc. serves as the Program Manager as well as effects account owner transactions in the Plan. Interests in the Plan are not guaranteed by the Trust, the Plan, the state of Nevada, the Board or any other governmental entities, or any USAA or Ascensus entities and you could lose money.
Shares of ETFs are bought and sold in the market at a market price, which may differ from NAV. Investors selling ETF shares in the market may receive less than NAV. Investors buying and selling ETF shares at market price may pay brokerage commissions, which will reduce returns.
Investors may acquire ETF shares and tender them for redemption in Creation Unit Aggregations only. Individual ETF shares are not redeemable.