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Monday, October 13, 2014

Janus makes foray into ETFs with VelocityShares deal, (NYSE: JNS)

Janus Capital Group Inc , fresh from hiring bond star Bill Gross, said on Monday it plans to make its first foray into the $1.8 trillion exchange-traded funds (ETF) space through the acquisition of VelocityShares parent, VS Holdings Inc.Janus said the deal to purchase VelocityShares, which has $2 billion in exchange-traded products, includes an initial upfront cash consideration of $30 million and is expected to close by the end of the year, subject to regulatory approval.The acquisition propels Denver-based Janus into the exchange-traded fund space, four years after it first filed application with regulators to offer stock and bond ETFs.The announced deal comes just weeks after Gross joined Janus from Pacific Investment Management Co late last month, the day before he was expected to be fired from the huge investment firm he co-founded more than 40 years ago. Gross will be managing the $79 million Janus Unconstrained Bond Fund.

Janus Capital Group Inc., and its subsidiaries (JCG) provide investment management, administration, distribution and related services to financial advisors, individuals and institutional clients through mutual funds, other pooled investment vehicles, separate accounts and sub advised relationships (collectively referred to as investment products) in both domestic and international markets. Shares of JNS fell by 1.15% or $-0.16/share to $13.79. In the past year, the shares have traded as low as $8.99 and as high as $15.95. On average, 6234480 shares of JNS exchange hands on a given day and today's volume is recorded at 2128489.