MFS Investment Management

  • Overview

Canadian connection

MFS Investment Management, formerly known as Massachusetts Financial Services, is an 80 percent owned subsidiary of Sun Life Financial, a Canadian financial services conglomerate headquartered in Toronto.  Sun Life bought its stake in MFS for $45 million in 1982 when MFS managed just 13 mutual funds.  Today, MFS employs about 1,670 employees worldwide and has assets under management amounting to some $174.5 billion on behalf of individual and institutional investors worldwide, as of Sept. 30, 2009.  It manages approximately 60 U.S. mutual funds and employs about 150 investment professionals across offices in Boston, London, Mexico City, Tokyo, Singapore and Sydney.  The firm has some five million shareholders.

MFS holds the distinction of having established the first mutual fund in the United States.  This first fund, Massachusetts Investors Trust, was launched in 1924 and became one of the first investment companies to make full operations disclosures to its shareholders.  The Boston-based MFS Investment Management can also boast that it debuted one of the first municipal bond funds and the first globally diversified fixed-income mutual fund in the United States.  It also launched the country's first global balanced fund and was an early provider of 401(k) plans.  Today, it ranks as the 15th largest mutual fund manager in the United States.

Getting ready for the golden years

In June 2006, MFS introduced the MFS Diversified Income Fund, which has assets designed to generate income and shield investors from the ill effects of inflation.  The Diversified Income Fund invests in five asset classes and is designed for maximum stability, a feature MFS said was aimed at investors nearing retirement and facing longer life spans (and thus the need for greater continued income).

Although MFS has pretty much stuck to its core strategy of putting money into traditional investment avenues, in September 2007, it branched out into the growing field of alternative investments, launching Four Pillars Capital, which provides seed money to hedge fund managers.  The decision to move into the hedge fund business came from an increased interest from MFS' clients who wanted to diversify their portfolios and cash in on this burgeoning industry.

For the second quarter of 2009, despite volatile markets, the firm booked $27 million in net income, a rise from the $23 million it booked in the first quarter of 2009.  Total assets under management were $147 billion, again an increase from the $127 billion it posted the previous quarter.



MFS Investment Management


500 Boylston Street
Boston, MA 2116
Phone: (617) 954-5000
Fax: (617) 954-6620
www.mfs.com

STATS


  • Employer Type: Private
  • President & CEO: Robert J. Manning
  • 2008 Employees: 1,670