Legg Mason announced Wednesday that it is streamlining its mutual fund complex, partly by reducing the number of open-end funds it offers.
The Baltimore-based asset management company said it will reduce its open-end funds to 119, from 166, by merging some portfolios and liquidating others. The move is part of an effort to integrate the asset management business acquired last year from Citigroup Inc. in order to reduce product overlap.
As part of this program most of the former Smith Barney and Salomon Brothers mutual funds are to be rebranded as Legg Mason Partners Funds. Selective mergers involving the Legg Mason fund family will also be done.
Already this year most former Smith Barney funds and all funds offered as part of variable annuity or variable life insurance contracts were renamed Legg Mason Partners Funds. The company said it expects that other open-end funds from the Citi deal, including Salomon Brothers Funds, also will be renamed. Once the realignment is approved and completed, the former Citigroup Asset Management's open-end fund product set is to be a focused offering of 28 equity funds, 28 fixed-income funds, 22 money market funds, and 23 variable annuity portfolios.
Legg Mason is the fifth-largest asset manager in the world, with $868 billion under management at March 31.
The reorganizations and other proposed changes were detailed in prospectus supplements filed with the Securities and Exchange Commission.
