Neuberger Berman boosts team after $10bn institutional inflows
Neuberger Berman has hired David Eckert from ING as its global head of infrastructure, a day after announcing a $10bn jump in institutional inflows over 12 months, fuelled in part by European investors.
The asset expansion, via inflows from 83 clients globally in the year to March, came in 29 strategies spanning equities, fixed income, and alternatives.
Subscriptions to the 72-year old firm came from an unnamed Dutch pension ($500m), and $250m from a Scandinavian institution for a Chinese equity mandate, among various other large allocators.
About 18% of Neuberger’s total assets are now managed for investors outside the US, over triple the 5% three years ago.
The firm saw both the total amount of new assets, and value of its existing assets grow by 28% by March, leaving it with $199bn.
Two years earlier, when its management conducted a buyout, it managed $155bn.
Its asset split is now 48% in US and global equities, roughly 43% in core and specialty fixed income, and approximately 9% in alternatives, including hedge and private equity investments.
George Walker, chairman and chief executive officer, said: “We believe worldwide economies are generally on the path to recovery and expansion. In the US we are encouraged by the strength of corporate profits and robust balance sheets, and by growth, albeit slow, in employment.”
Before joining Neuberger, Eckert (pictured) was global chief operating officer and chief information officer for ING’s investment management and insurance business.
He will report to Andrew Komaroff, chief operating officer.
Komaroff said: “Our strong IT and operations capabilities have been critical to our success and we are eager for David to build upon this strength in this newly created role.”
Eckert said: “Neuberger Berman understands that investing in IT and operations capabilities bears directly on a firm’s ability to deliver for clients.”
He also worked for JP Morgan Chase, latterly as chief information officer for its investment management business.
Over the year to March, Neuberger also hired Scott Kilgallen, previously at Goldman Sachs, as managing director overseeing private banks, intermediary distribution for retirement services, and sub-advisory relationships.
David Kupperman, who had also worked at Goldman, and The Carlyle Group, joined as managing director in funds of hedge funds.
Eli Salzmann, previously with Lord Abbett, joined as managing director and portfolio manager specializing in US large-cap value equity strategies.
And Leah Modigliani, earlier with Morgan Stanley, joined as a senior vice president and multi-asset class strategist.