Plus, Bill Miller's new responsibilities, American Century's manager departures, and more.
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Peter Sundman, chairman and CEO of the Neuberger Berman funds, will leave Neuberger Investment Management on Jan. 5, 2009, to serve as president and CEO of ClearBridge Advisors, Legg Mason's largest investment management arm.
Sundman's departure from Neuberger Berman comes shortly after a group of senior executives and portfolio managers at that firm bought it from its bankrupt parent, Lehman Brothers. Sundman joined the firm in 1998 as director of institutional sales and held various executive positions in its mutual fund and institutional businesses.
At ClearBridge, Sundman will fill a void left by the departure in March 2008 of its former chief, Brian Posner. Sundman will work closely with the existing management team led by CIO Hersh Cohen and COO Terrence Murphy.
Legg Mason Adds Bill Miller to Another Struggling Fund
In perhaps a vote of confidence for the beleaguered manager, Legg Mason announced that Bill Miller of Legg Mason Value
American Century Shuffles Managers
American Century is down four managers. Mark On, CIO of the international equity group and comanager of American Century Emerging Markets
Mark Kopinski, manager of American Century International Discovery
Oakmark International Adds Manager
Rob Taylor, manager of Analyst Pick Oakmark Global
Vanguard Shuts Two Money Market Funds
On Tuesday, Vanguard closed Vanguard Admiral Treasury Money Market and Vanguard Treasury Money Market to new investments in defined contributions plans. It also won't accept additional assets from all other financial advisor, intermediary, and institutional accounts. Existing investors in defined contribution plans as of Tuesday's close may still open new accounts or add to them.
Vanguard's decision came within hours of Fed's announcement to lower its key rates from 1% to a range of 0% to 0.25%. Like most money market offerings, both Vanguard funds invest heavily in short-term Treasuries with yields closely tied to Fed fund rates. With Fed fund rates at all time lows, money market funds have been struggling to stay in the positive territory after accounting for management fees. Vanguard has an advantage over the rest with low expense ratios of 0.10% for Admiral Treasury Money Market and 0.24% for Treasury Money Market.