Advisors Asset Management

Established in 1979, Advisors Asset Management, Inc. (AAM) has been a resource that provides investment products and portfolio support to broker-dealers and advisors. They work with both independent and large Wall Street firms providing access to fixed income investments, structured products, unit investment trusts, mutual funds, and separately managed accounts.^[1] Additionally, the firm provides advisors with a variety of financial tools and services including portfolio reviews and analysis, capital markets and institutional fixed income trading, and education.^[2]

AAM has over 30 years of experience in the fixed income markets and is a United States Securities and Exchange Commission (SEC) registered investment company and member of the Financial Industry Regulatory Authority (FINRA) and Securities Investor Protection Corporation (SIPC). Headquartered in Monument, Colorado, the company has offices spanning across the U.S.^[3] and employs over 300 people.^[4]

History

1979–2002

In 1979, Jim Dillahunty founded Advisors Asset Management, which was known as Fixed Income Securities, Inc. (FIS) in San Diego, California.^[5] In 1992, the firm began to streamline its technology trading platform and released Bond Express, one of the first electronic databases for dealer bond listings.^[6] Three years later, Barra, Inc., who had invested heavily in the product's development, purchased FIS's interest in Bond Express.^[7]

In 1998, Scott Colyer founded Sterling Resources, a fixed income and wealth preservation company for high-net-worth clients and institutions in Monument, Colorado. In 2001, FIS and Sterling Resources merged under Fixed Income Securities, LLC. The merger combined FIS's established account base and IT capabilities with the distribution, trading, and analytical capabilities of Sterling Resources. The firm established its niche by specializing in fixed income investments and portfolio support services exclusively for financial professionals and broker-dealers.^[8]

2003–2007

FIS announces its new Advisors Asset Management (AAM) division to distribute unit investment trusts (UITs). In 2004, AAM became its own UIT sponsor acquiring Matrix Unit Trust, a UIT sponsor based out of Wichita, KS. These proprietary UITs were distributed under the AAM brand name.^[9] The AAM division also launched a separately managed account (SMA) service consisting of advisory and sub-advisory fixed income portfolio management platforms.^[10]

In early 2006, AAM announced a strategic alliance with Credit Suisse, adding structured products to its distribution offerings.^[11] Soon thereafter, they announced an agreement to distribute a select group of Merrill Lynch products to registered investment advisors and independent broker-dealers. Focused mainly on structured products, this agreement with Merrill Lynch's Global Markets & Investment Banking (GMI) division provided the firm access to traditional equity and debt investment securities, such as convertible bonds, preferred stocks, and government agency issues.^[12] AAM also added additional structured product sponsors to its offerings, including ABN AMRO and HSBC.^[13]

In January 2007, AAM increased its assets under supervision by being named the successor sponsor of Defined Asset Funds (DAF) UIT portfolios formerly sponsored by Merrill Lynch.^[14] They were also appointed the successor sponsor of approximately $1.8 billion of Citigroup's Tax Exempt Securities Trusts (TEST) assets the following year.^[15] Later that year, AAM partnered with Envestnet in October to create a unified wealth management solution on the Envestnet platform by adding a fixed income component to their existing portfolio services.^[16]

2008–present

In an effort to strengthen name recognition and better define their expanding product offerings, FIS and its AAM division unified under one brand name and officially became Advisors Asset Management, Inc. in June 2008.^[17]

In 2009, AAM launched a new Institutional Sales and Trading division in Manhattan, New York to expand its fixed income product distribution to the institutional markets.^[18] In September 2012, AAM was named to Inc. Magazine's list of the 5000 fastest growing companies for the fourth year in a row, ranking 160 in the financial services industry.^[19]

In April 2012, AAM’s High 50 Dividend Strategy Portfolio exceeded $1 billion in assets.^[20]

References