Conseco has found a buyer for its family of 12 no-load, retail funds. Affiliated Managers Group's Managers Funds unit has agreed to buy the funds from 40/86 Advisors. The price tag and terms of the deal were not disclosed. Conseco renamed its investment management group to 40/86 Advisors last month.

The transaction will bring some $400 million of fund assets under the Managers Funds umbrella. This transaction does not include 40/86 Advisors' institutional separate account business.

While the Norwalk, Connecticut-based Managers Funds will take over as advisor to the funds it will leave the portfolio management of the products in the hands of the current subadvisors. That means that 40/86 Advisors will subadvisor the fixed income funds, while Chicago Equity Partners and Oak Associates will stay on as subadvisors to the equity funds.

Those terms mesh well with Managers Funds strategy of focusing on marketing, distribution and operations for its funds while outsourcing portfolio management to subadvisors. All of the group's funds are subadvised.

Peter M. Lebovitz, president and CEO of The Managers Funds, said that the addition of the Conseco funds will broaden the product lineup at Managers Funds. He added that the range of share classes in the funds also made them attractive.  

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