USAA, Victory Capital close deal, bringing expanded mutual fund options to members
Victory Capital has acquired USAA’s Asset Management Company in a deal announced last November. The sale includes USAA’s mutual fund, ETF and 529 college savings businesses.
The deal reflects USAA’s unwavering mission to facilitate the financial security of the military community. Members will benefit from a growing selection of mutual funds and ETFs at competitive prices, along with 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.
"Our mission is to support the long-term financial security of military members and their families," said Stuart Parker, Chief Executive Officer, USAA. "Victory Capital will continue providing members quality products and service, plus a greater variety of mutual funds and ETFs. We will work with Victory Capital and our members to ensure a smooth transition."
Earlier this year, Victory Capital also announced the move of headquarters to San Antonio. Victory Capital and its operational business providers have hired approximately 230 USAA employees while other affected employees found new roles within USAA. Fewer than 60 USAA employees were separated from the company as a result of the deal.
About the Agreement
Under terms of the sale, Victory Capital acquired USAA Asset Management Company for $850 million plus the opportunity for additional contingent payments based on future business performance. Net proceeds from this transaction will be used to further benefit members.
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 13 million members. It employs 34,000 people and has a net worth of $31 billion. USAA is one of only a handful of organizations to maintain the national credit rating agencies’ highest possible ratings.
Investing involves risk, including potential loss of principal.
Consider the investment objectives, risks, charges and expenses of the USAA Mutual Funds and USAA ETFs carefully before investing. Download a prospectus or summary prospectus, if available, containing this and other important information from www.usaa.com/prospectus or www.victorysharesliterature.com, respectively. Read it carefully before investing.
Consider the investment objectives, risks, charges and expenses of the USAA 529 College Savings Plan (Plan) carefully before investing. Call 800-235-8396 to request a Plan Description and Participation Agreement containing this and other information about the Plan from Victory Capital Advisers, Inc., Underwriter and Distributor. Read it carefully before investing. You should compare the USAA Plan with any 529 Plan offered by your home state or your beneficiary’s home state and consider, before investing, any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in the home state’s plan.
Interests in the USAA 529 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 Nevada State Treasurer, Zach Conine. Victory Capital Management Inc. provides investment management services, and Victory Capital Advisers, Inc. 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, Victory or Ascensus entities and you could lose money.
Victory Capital means Victory Capital Management Inc., the investment manager of the USAA Mutual Funds. USAA Mutual Funds are distributed by Victory Capital Advisers, Inc., a broker dealer registered with FINRA and an affiliate of Victory Capital. Victory Capital and its affiliates are not affiliated with United Services Automobile Association or its affiliates. USAA and the USAA logo are registered trademarks and the USAA Mutual Funds logo is a trademark of United Services Automobile Association and are being used by Victory Capital and its affiliates under license.
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