Aegon Asset Management
Aegon Asset Management US provides investment management services and products primarily to institutional clients such as pooled investment vehicles. It doesn’t serve individual clients. So if you’re looking for an advisor who can provide financial planning services, use our pro matching tool. It connects you with up to three advisors in your area.
It currently oversees more than $95 billion in assets under management (AUM).
Aegon Asset Management US is also known Aegon USA Investment Management, LLC. The firm uses the former as the primary business name to market its asset management products and services.
Aegon Asset Management Background
Aegon began operations as a fixed-income portfolio manager in 2001. Today, it provides active investment management to portfolios comprised mainly of equities, fixed income, private placements and derivatives.
The firm is a direct, wholly owned subsidiary of Aegon USA Asset Management Holding, LLC and an indirect wholly owned subsidiary of Aegon NV, a Netherlands-based financial services organization.
What Types of Clients Does Aegon Asset Management Accept?
Aegon works with various types of clients including:
- Insurance companies
- Corporate pension and profit-sharing plans
- Pooled investment vehicles such as mutual funds, collective investment trusts (CITs) and privately offered alternative vehicles
- Charitable organizations and endowments
- Government plans and municipalities
- Foreign funds such as Undertakings for Collective Investments in Transferable Securities (UCITS)
- US and foreign institutions
- Other investment advisors
Aegon Asset Management Minimum Account Size
The firm generally requires a minimum investment of $50 million to receive its services. This minimum may vary, depending on several factors such as investment strategy and product structure. Aegon may waive these requirements at its discretion.
Services Offered by Aegon Asset Management
Aegon provides investment products and services to a range of institutional clients. It conducts its business through separately managed accounts including open-end mutual funds, UCITS and private funds.
In addition, the firm provides investment services to insurance companies and pension plans.
Aegon Asset Management Investment Philosophy
- Aegon engages in the following investment strategies:
- Fundamental Fixed Income - involves one or more fixed income asset classes, duration-sensitive or cash flow management strategies and constrained strategies based on client restrictions
- Multi-Asset Strategies - entails several asset classes customized to client-specific parameters
- Investment Solutions - diversifies strategies based on the client’s liability profile and includes a form of asset-liability management for insurance companies and liability-driven investing for pension plans
Fees Under Aegon Asset Management
For discretionary investment management services, Aegon generally charges fees based on a percentage of AUM. These may be negotiable.
In addition, the firm may charge performance-based fees. In such cases, fees may be higher if investments perform well, relative to certain parameters established between the client and the firm.
For complete details, refer to service and fee-related documents provided by the firm as it currently does not make fee schedules public.
What to Watch Out For
Aegon shares a business relationship with certain insurance companies. This arrangement may create conflicts of interests as advisors may be incentivised to allocate client assets across these firms’ products. That said, Aegon must uphold fiduciary standards to work in the best interests of its clients at all times.
Additionally, Aegon does not work with small investors. It also does not provide financial planning or wealth management. If you need guidance with your personal finances, this firm is likely not the right fit.
In August 2018, the Securities Exchange Commission (SEC) issued an order against Aegon and several of its affiliates. The order alleged that between July 2011 and June 2015, Aegon engaged in errors regarding implementation of asset-allocation models and volatility overlays developed and utilized by Aegon, when it served as a sub-advisor to certain Transamerica-sponsored mutual funds and underlying funds held by certain variable products, among other claims. In addition, the order claimed the parties involved failed to make appropriate disclosures and maintain adequate compliance policies and procedures.
Without admitting or denying the findings in the order, the parties involved agreed to cease and desist from committing such violations. Aegon paid civil penalties of $21,000,000, $24,599,896 in disgorgement and $3,682,195 in prejudgment interest. The amounts paid in disgorgement, prejudgment interest and civil penalties will be deposited into a Fair Fund for distribution to affected investors.
More information on this settled order can be found by accessing the document via the official SEC website by clicking here.
Opening an Account With Aegon Asset Management
To contact Aegon, visit its website at https://www.aegonassetmanagement.com/en/us/ or call the firm at (877) 234-6862.
Where Is Aegon Asset Management Located?
Aegon is based at 6300 C Street SW, Cedar Rapids, Iowa 52499
Tips for Finding the Right Financial Advisor
- Don’t have the money of an institutional clients? There are plenty of firms that work with smaller clients. To find advisors who specialize in personal finance topics like debt management, retirement savings and estate planning, use our SmartAsset financial advisor matching tool. It links you with up to three advisors in your area. The tool also gives you access to their profiles, so you can compare their qualifications before deciding to work with one.
- Make sure your advisor will work in your best interests. Not all of them have to by law. One clue that they will is that they are certified financial planners (CFPs), who agree to be bound by a fiduciary duty when providing financial planning services. Another clue is if the firm is registered with the SEC. But don’t assume anything. Ask all prospective advisors this simple question: Are you a fiduciary?
All information was accurate as of the writing of this article.