Wells Fargo Asset Management (WFAM) has switched subadvisors on four funds and three managed account strategies from Golden Capital Management to Wells Capital Management, according to a Securities and Exchange Commission (SEC) filing.
The subadvisory changes will take place on the Wells Fargo Index fund, Wells Fargo Disciplined US Core fund, Wells Fargo Large Cap Core fund and Wells Fargo Small Cap Core fund as well as Golden Capital Large Cap Core, Golden Capital Small Cap Core and Golden Capital SMID Cap Core strategies.
The decision to switch is a result of Golden Capital Management’s merger into Wells Capital Management, which is expected to take place on or about January 2018, according to a Wells Fargo product alert.
The firm said in the alert that this merger was part of a plan to simplify WFAM’s organizational structure by consolidating investment advisors where there are potential synergies. The merger will have no impact on the investment strategies, fees, services, processes or personnel connected with the associated funds and managed accounts, it said.
In June, Wells Fargo took full ownership of Charlotte, North Carolina-based boutique equity shop Golden Capital Management, after acquiring the 35% of the business it did not already own.
Wells Fargo had initially become a minority stakeholder in Golden in 2008 via its deal for Wachovia Corporation.
First Trust joins blockchain ETF race
Exchange-traded fund (ETF) provider First Trust has joined the bitcoin ETF race by filing for the First Trust Indxx Blockchain ETF, according to a SEC filing.
The fund, which aims to track the Indxx Global Blockchain index, will be managed by a team consisting of Daniel J. Lindquist, Jon C. Erickson, David G. McGarel, Roger F. Testin, Stan Ueland and Chris A. Peterson.
Although many asset managers have hatched plans to tap into the potential of cryptocurrencies and the underlying blockchain technology in the ETF wrapper, bitcoin ETFs have had a mixed history.
In March, the SEC rejected an application from Tyler and Cameron Winklevoss, the twin brothers famous for their dispute with Facebook founder Mark Zuckerberg, to let the Winklevoss Bitcoin Trust trade on the Bats exchange.
The agency rejected the fund on the grounds that the exchange would be unable to enter into necessary surveillance-sharing agreements given that bitcoin is not regulated by any government.
Bitcoin plummeted as much as 18% immediately after the SEC rejected the Winklevoss twins’ ETF proposal.