Zurich, Switzerland and New York, USA, January 1, 1998. - The Zurich Group and Scudder, Stevens & Clark, Inc. have completed - as announced in June 1997 - the formation of Scudder Kemper Investments, Inc., a global investment organization with more than US$ 200 billion in assets under management.
Under the terms of the agreement, Zurich’s subsidiary, Zurich Kemper Investments, Inc., based in Chicago, with approximately US$ 87 billion in assets under management, has been combined with Scudder’s US$ 129 billion mutual fund and asset management operation. Zurich owns approximately 69.5% of the new firm and senior employees of Scudder Kemper Investments will hold the remaining shares.
Scudder Kemper Investments, headquartered in New York City, is the core of Zurich’s global investment management operations - its fourth core business together with non-life and life insurance and reinsurance. The new company will strengthen Zurich’s ability to capitalize on emerging investment management, savings and investment-linked life insurance opportunities throughout the world.
Edmond D. Villani, Scudder’s President and CEO, has been appointed President and CEO of Scudder Kemper Investments. Mr. Villani has also joined Zurich’s Corporate Executive Board.
Scudder Kemper Investments’ Board of Directors is chaired by Rolf Hueppi, Chairman and CEO of the Zurich Group. It includes four members of Zurich’s Corporate Executive Board: Laurence W. Cheng, Steven M. Gluckstern, Markus Rohrbasser and Edmond D. Villani, as well as Cornelia Small, Director of Global Equity Investments of Scudder Kemper Investments and Lynn S. Birdsong, Director of Scudder Kemper Investment’s Institutional Group.
The new company is structured around two investment groups: Global Equities and Global Bonds; and four business units: Mutual Funds, International Mutual Funds, Institutional, and Private Investment Counsel. In order to best serve the global needs of clients and prospects, the firm is organized around business units rather than geography.
Scudder Kemper Investments, Inc. is one of the largest and most experienced investment management organizations in the world, managing more than US$ 200 billion in assets for mutual fund investors, retirement and pension plans, institutional and corporate clients, insurance companies, and individuals. Scudder Kemper Investments offers a full range of investment counsel and asset management capabilities, based on a combination of proprietary research and disciplined, long term investment strategies. The company was formed through a merger of Scudder, Stevens and Clark and Zurich Kemper Investments. Scudder, Stevens & Clark, Inc. was founded in 1919 as one of the nation’s first investment counsel organizations, and Zurich Kemper Investments, Inc. has 50 years of mutual fund and investment management experience. Scudder Kemper Investments, Inc. is a member of the Zurich Group.
The Zurich Group is a leading, internationally recognized provider of insurance and financial services in non-life and life insurance, reinsurance and asset management. It offers financial protection and investment solutions to customers in the personal, commercial and corporate market segments. Headquartered in Zurich, Switzerland, the Group operates in 50 countries worldwide and employs over 43,500 people (including Scudder Kemper Investments). With premium income of SFr. 31.9 billion, Zurich’s annual profit for 1996 totaled SFr. 1.1 billion.
