The asset allocation fund space just became even more crowded. Gartmore Mutual Funds has launched a series of asset allocation funds called the Gartmore Optimal Allocations Funds.

The funds will include Aggressive, Moderately Aggressive, Moderate and Specialty options, according to an SEC filing

All of the funds will invest, in varying percentages, in other Gartmore-advised funds that are invested in domestic large, mid and small cap equities, international equities, fixed income and "speciality" assets.

An Optimal Price?
Hypothetical Fund Expenses	Operating Expenses (%), after waivers	Indirect Expenses (%)
Aggressive Fund	0.25	0.28
Moderately Aggressive Fund	0.25	1.18
Moderate Fund	0.25	1.06
Specialty Fund	0.25	1.43
Source: Gartmore SEC filing

The speciality funds will include Gartmore's mainly equity-based sector or investment strategy funds, such as the Global Utilities Fund, Natural Resources Fund and Health Sciences Fund.

Investors' total indirect expenses resulting from investing in other funds will vary from 28 to 143 basis points, depending on the funds' actual asset allocation mix.

Operating expenses for the funds, post-waivers, are 25 basis points across the board.

Gartmore will offer six share classes in each of the funds -- Class A, Class B, Class C, Class R, Institutional Service Class, and Institutional Class shares.

Meanwhile, Scudder Investments is also building out its advisor-sold asset allocation lineup. Scudder has added an equity-focused asset allocation fund to its fund-of-funds Pathway series on November 1.

Managers will allocate up to 100 percent of the Pathway Growth Plus Portfolio's assets in Scudder equity funds, with the ability to invest up to 30 percent in Scudder's fixed-income funds.

Deutsche Asset Management manages the funds in concert with the firm's allocation application, PortfolioChoice.

DeAM managed more than $550 million in total Pathway fund assets, said a DeAM spokeswoman.  

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