American Century’s Livestrong target-date mutual funds will continue to use the name of the cancer charity founded by disgraced cyclist Lance Armstrong.
“There’s Lance, and then there’s the cancer foundation,” says Chris Doyle, a spokesman for American Century. “Our relationship is with Livestrong, and the funds remain the Livestrong portfolios.”
The highly rated funds have continued to attract cash since Armstrong’s Jan. 17 televised confession that he used performance-enhancing drugs to win a record seven Tour de France titles, according to Morningstar. Investors were similarly undeterred in the months prior as doping evidence mounted and Armstrong ultimately was stripped of his titles.
The Livestrong portfolios attracted $1.5 billion in net deposits last year, growing to $6 billion in total assets. The 10 target-date funds automatically adjust to a more conservative mix of investments as the target retirement year approaches.
American Century is unique in that it gives about 40 percent of its profits to medical research. Since 2000, nearly $1 billion has been directed to the Stowers Institute for Medical Research, begun by the company’s founder, Jim Stowers and his wife, Virginia – both cancer survivors.
American Century also contributes to the Livestrong Foundation under an agreement that includes rights to use the Livestrong name.Associated Press