Eaton Vance puts Kearns in charge of sales race.

To get on an even, course in the mutual fund sales race, Eaton Vance Corp. has placed William J. Kearns Jr. at the helm of its hub-and-spoke program.

Mr. Kearns left his post as senior vice president of Fidelity Investments' institutional department in February.

Since then, he has been transforming Eaton Vance's traditional fund format into the hub-and-spoke structure developed by the Signature Financial Group.

Under the structure, mutual fund assets are managed as a single pool, or hub. Shares in funds, or spoke, that invest in the central pool can then be offered to different investors at different prices.

Shaving Expenses

Fund companies like Eaton Vance can shave expenses by managing assets in a single pool rather that setting up separate funds for institutional, trust, and retail investors. Banks benefit by being able to offer "private label" funds under their own names.

By next month, Eaton Vance plans to finish converting all 57 of its funds to the hub-and-spoke structure, making it the first fund company to do so.

The transition is "an aggressive step for us," Mr. Kearns said. "We found a niche out there. We're planning on this to be a very big area for the banks," and by getting in on the ground floor, Eaton Vance will be there to serve them, he explained.

Mr. Kearns started in the investment business in 1966 -- back when just 3 million shares a day traded. "I've seen a lot of change," he said.

"I love this business," he added. "It's been a great hobby for me."

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