Calamos Investments will lose 5% of its assets under management from the termination of a U.S. equity account with roughly $1.1 billion in assets under management from Nomura Holdings, Jeff Kelley, senior vice president and head of marketing, confirmed Tuesday.
Mr. Kelley said the money is being transferred to American Century Investments. Nomura announced it was purchasing a 41% stake in American Century in December 2015.
“While we have valued our longstanding relationship with Nomura and are disappointed in their decision to close this account and move assets to American Century, it is not entirely unexpected, considering the recent financial partnership between the two firms,” Mr. Kelley said in the e-mail.
Mr. Kelley said the loss of the account will be reflected in future company financial disclosures. Even without the loss, Calamos's AUM has been declining. The company reported AUM of $19.6 billion as of Oct. 31, down from $20.1 billion as of Sept. 30 and $21.9 billion at the end of 2015. The company had more than $46 billion in AUM at the end of 2007, according to company annual reports.
Calamos said in a Nov. 4 10-Q filing that lost revenue will total $4.8 million from the terminated account. It said the termination will occur in the fourth quarter but did not offer specifics.
Calamos has gone through a series of management changes in the past several years as assets under management have declined. Firm founder John P. Calamos Sr. remains chairman and global chief investment officer, but he gave up his CEO title to John Koudounis, a money management veteran who joined the firm in April.
Mr. Kelley offered an optimistic viewpoint about the firm's future.
“Based on our current pipeline and preliminary discussions with prospective new accounts, we see the potential to completely replace this revenue,” he said. “Our CEO has a reputation of turning companies around and he is confident that his strategic plan will more than compensate for this shift in assets.”