Henderson Global Investors hired DB Advisors to subadvise the £3.3 billion ($5.2 billion) Henderson Liquid Assets Fund, an institutional money market fund, effective Oct. 12, according to Henderson spokesman Richard Acworth.
Henderson had managed the assets internally and will continue to run other money market strategies, including the Henderson Cash Fund and the Henderson Money Market Unit Trust, which are variable net-asset-value funds. In comparison, the Henderson Liquid Assets Fund provides a constant net asset value with a seven-day LIBOR return.
“The appointment of DB Advisors follows a review by Henderson of its cash investment business in light of potential changes to the way that the money market industry is regulated,” according to a news release.
Regulators in the U.S. and Europe have either proposed or implemented significant changes affecting money market funds, particularly those with a constant NAV target.