[Federal Register Volume 63, Number 163 (Monday, August 24, 1998)]
[Notices]
[Pages 45098-45100]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-22643]
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SECURITIES AND EXCHANGE COMMISSION
[Investment Company Act Release No. 23393; 812-11254]
The Victory Portfolios, et al.; Notice of Application
August 18, 1998.
AGENCY: Securities and Exchange Commission (``Commission'').
ACTION: Notice of an application under sections 6(c) and 17(b) of the
Investment Company Act of 1940 (the ``Act'') for an exemption from
sections 12(d)(1)(A) and 17(a) of the Act, and under section 17(d) of
the Act and rule 17d-1 under the Act to permit certain joint
transactions.
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SUMMARY: Applicants seek to amend a prior order that permits non-money
market series of a registered open-end management investment company to
purchase shares of one or more of the money market series of such
registered investment company by adding three
[[Page 45099]]
registered open-end management investment companies and three
investment advisers as applicants.
APPLICANTS: The Victory Funds (formerly known as The Society Funds),
The Highmark Group, The Parkstone Group of Funds, The Conestoga Family
of Funds, The AmSouth Funds (formerly known as The ASO Outlook Group),
The Sessions Group, American Performance Funds, The Coventry Group,
BB&T Mutual Funds Group (collectively, the ``Original Funds''); Society
Asset Management, Inc., Union Bank of California, N.A. (formerly known
as The Bank of California), First of America Investment Corporation,
Meridian Investment Company, AmSouth Bank (formerly known as AmSouth
Bank, N.A.), National Bank of Commerce, BancOklahoma Trust Company, AMR
Investment Services, Inc., Boatmen's Trust Company, AMCORE Capital
Management, Inc., and Branch Banking and Trust Company (collectively,
the ``Original Advisers''); BISYS Fund Services Limited Partnership
(formerly known as The Winsbury Company) (``BISYS''), BISYS Fund
Services Ohio, Inc. (formerly known as The Winsbury Service
Corporation) (all of the above entities collectively, the ``Original
Applicants''); BISYS Fund Services, Inc. (``BISYS Services'');
Martindale Andres & Company, Inc. and 1st Source Bank (the ``Additional
Advisers''); Eureka Funds (``Eureka''), Performance Funds Trust
(``Performance'') and Centura Funds, Inc. (``Centura'') (Eureka,
Performance and Centura, collectively, the ``New Funds'') and Sanwa
Bank California (``SBCL''), Trustmark National Bank (``Trustmark'') and
Centura Bank (with SBCL and Trustmark, the ``New Advisers'').
The Sessions Group, BISYS, BISYS Fund Services Ohio, Inc. and the
Additional Advisers are also referred to as the ``Subsequent
Applicants.'' The Original Applicants and the Subsequent Applicants are
referred to collectively as the ``Prior Applicants.'' The New Funds,
the New Advisers, BISYS, and BISYS Services are referred to
collectively as the ``New Applicants.''
FILING DATES: The application was filed on August 11, 1998. Applicants
have agreed to file an amendment to the application during the notice
period, the substance of which is reflected in this notice.
HEARING OR NOTIFICATION OF HEARING: An order granting the application
will be issued unless the Commission orders a hearing. Interested
persons may request a hearing by writing to the Commission's Secretary
and serving applicants with a copy of the request, personally or by
mail. Hearing request should be received by the Commission by 5:30 p.m.
on September 14, 1998, and should be accompanied by proof of service on
applicants, in the form of an affidavit or, for lawyers, a certificate
of service. Hearing request should state the nature of the writer's
interest, the reason for the request, and the issues contested. Persons
who wish to be notified of a hearing may request notification by
writing to the Commission's Secretary.
ADDRESSES: Secretary, Securities and Exchange Commission, 450 Fifth
Street, N.W., Washington, DC 20549. Applicants, c/o Kristin H. Ives,
Esq., Baker & Hosterler LLP, 65 East State Street--Suite 2100,
Columbus, Ohio 43215.
FOR FURTHER INFORMATION CONTACT: Lawrence W. Pisto, Senior Counsel, at
(202) 942-0527, or George J. Zornada, Branch Chief, at (202) 942-0564,
Office of Investment Company Regulation, Division of Investment
Management.
SUPPLEMENTARY INFORMATION: The following is a summary of the
application. The complete application may be obtained for a fee at the
Commission's Public Reference Branch, 450 Fifth Street, N.W.,
Washington, DC 20549 (tel. (202) 942-8090).
Applicants' Representations
1. On October 5, 1993, the Commission issued an order (the
``Original Order'') under sections 6(c) and 17(b) of the Act that
exempted the Original Applicants from the provisions of sections
12(d)(1)(A) and 17(a) of the Act and that permitted, pursuant to rule
17d-1, certain joint transactions in accordance with section 17(d) and
rule 17d-1.\1\ The Original Order permitted: (i) the non-money market
series of an Original Fund to utilize cash reserves that have not been
invested in portfolio securities (``Uninvested Cash'') to purchase
shares of one or more of the money market series of such Original Fund;
and (ii) the sale of shares by the money market series of an Original
Fund to the non-money market series of such Original Fund, and the
purchase (or redemption) of their shares by the money market series of
the Original Fund from the non-money market series of such Original
Fund.
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\1\ Investment Company Act Release Nos. 19965 (Sept. 9, 1993)
(notice) and 19759 (Oct. 5, 1993) (order).
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2. On May 20, 1997, the Commission issued an order that amended the
Original Order (together with the Original Order, the ``Amended
Order''), by extending the relief granted in the Original Order to the
Subsequent Applicants.\2\
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\2\ Investment Company Act Release Nos. 22636 (April 24, 1997)
(notice) and 22677 (May 20, 1997) (order).
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3. Eureka is an open-end management investment company registered
under the Act and organized as a Massachusetts business trust. Eureka
offers shares in five series, two of which are money market series.
SBCL is the investment adviser for each of the Eureka series. SBCL is
not registered under the Investment Advisers Act of 1940 (the
``Advisers Act'') in reliance upon the exclusion from the definition of
investment adviser set forth in Section 202(a)(11)(A) of the Advisers
Act. BISYS, one of the Prior Applicants, is the principal underwriter,
administrator and distributor for each of the Eureka series. Pursuant
to separate agreements with the New Fund, BISYS Services, one of the
Prior Applicants, serves as transfer agent and provides fund accounting
services for each of the Eureka series.
4. Performance is an open-end management investment company
registered under the Act and organized as a Delaware business trust.
Performance offers shares in six series, one of which is a money market
series. Trustmark is the investment adviser for each of the Performance
series. Trustmark is not registered under the Advisers Act in reliance
upon the exclusion from the definition of investment adviser set forth
in Section 202(a)(11)(A) of the Advisers Act. BISYS, one of the Prior
Applicants, is the administrator for each of the Performance series. A
wholly-owned subsidiary of BISYS Services, a Prior Applicant, is the
principal underwriter and distributor for each of the Performance
series. Pursuant to separate agreements with the Performance series,
BISYS Services also serves as transfer agent and provides fund
accounting services for each of the Performance series.
5. Centura is an open-end management investment company registered
under the Act and organized as a Maryland corporation. Centura offers
shares in six series, one of which is a money series. Centura Bank is
the investment adviser for each of the Centura market series. Centura
Bank is not registered under the Advisers Act in reliance upon the
exclusion from the definition of investment adviser set forth in
Section 202(a)(11)(A) of the Advisers Act. BISYS, one of the Prior
Applicants, is the administrator for each of the Performance series. A
wholly-owned subsidiary of BISYS Services,
[[Page 45100]]
one of the Prior Applicants, is the principal underwriter and
distributor for each of the Centura series. Pursuant to separate
agreements with the Centura series, BISYS Services also serves as
transfer agent and provides fund accounting services for each of the
Centura series.
6. The New Applicants seek to have the exemptive relief granted
under the Amended Order extended to include them so as to permit the
non-money market series of the New Funds which are advised by the New
Advisers to utilize Uninvested Cash to purchase shares of one or more
of the money market series of the New Funds which are advised by the
New Advisers.\3\ The New Applicants consent to the conditions set forth
in the original application and agree to be bound by the terms and
provisions of the Amended Order to the same extent as the Prior
Applicants. The New Applicants believe that granting the requested
order is appropriate in the public interest and consistent with the
protection of investors and the purposes fairly intended by the policy
and provisions of the Act.
\3\ The requested relief also would extend to any other
registered open-end management investment companies advised by the
New Advisers or any person directly or indirectly controlling,
controlled by, or under common control with the New Advisers, and
for which BISYS or any person directly or indirectly controlling,
controlled by, or under common control with BISYS, now or in the
future serves as principal underwriter.
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For the Commission, by the Division of Investment Management,
under delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 98-22643 Filed 8-21-98; 8:45 am]
BILLING CODE 8010-01-M
