Skip to Content

Touchstone Investments

Touchstone Investments Parent Rating

Below Average

Touchstone Investments has room to improve as it moves to grow, resulting in reduced conviction in the firm and a Parent rating downgrade to Below Average from Average.

Touchstone has prioritized growth in assets under management over the past six years. The firm made two multi-billion-dollar acquisitions since 2017 that expanded its mutual fund lineup and its AUM, which currently sits around $25 billion. While a few of the same portfolio managers continue to run acquired funds, most do not, and many funds were merged and assigned to other subadvisors, including Fort Washington Investment Advisors. (That firm is Touchstone’s largest partner and is also owned by Touchstone’s parent, Western & Southern Financial Group.) Meanwhile, Touchstone has also liquidated small funds that it says aren’t poised to grow while launching several new funds and, over the past year, exchange-traded funds, including its first thematic ETF, Touchstone Climate Transition.

Touchstone deserves credit for maintaining a long-term view in its subadvisory relationships and for a well-articulated approach to manager selection, but its investment team is quite small compared with competitors’ and has experienced some turnover in the past couple of years. Unlike at other firms using a subadvisory model, the product-development and investment-management functions lie within the same team.

Touchstone Investments

Market

US Open-end ex MM ex FoF ex Feeder

Total Net Assets

26.12 Bil

Investment Flows (TTM)

−1.25 Bil

Asset Growth Rate (TTM)

−5.09%

# of Share Classes

126
Morningstar Rating # of Share Classes
17
33
43
21
12
Not Rated 0

Market

US ETFs

Total Net Assets

332.60 Mil

Investment Flows (TTM)

32.41 Mil

Asset Growth Rate (TTM)

15.61%

# of Share Classes

7
Morningstar Rating # of Share Classes
0
0
0
0
0
Not Rated 7

Morningstar Mentions

Quick Definitions: Key Morningstar Terms

Sponsor Center