Man Group buys US asset management firm Pine Grove

9th Jun 2014 07:16

In a move to expand in the US and diversify its product offering, hedge fund manager Man Group has bought credit-focused Pine Grove Asset Management.Pine Grove, which has around $1bn of assets under management, has been purchased for an undisclosed amount.The employee-owned company, based in New York and New Jersey, has delivered "attractive risk-adjusted returns across market cycles" since its inception in 1994, Man Group said.Around two-thirds of its assets are from institutional investors, mainly US-based, with the remaining third from US high net worth individuals and family offices.Pine Grove will be added to Man Group's fund of hedge funds business in the States, FRM. Its current President Matthew Stadtmauer will become President of FRM."We look forward to working closely with our new colleagues with the aim to deliver positive risk-adjusted performance for our clients. The opportunity to expand FRM's footprint in the US is extremely exciting," said Michelle McCloskey, New York-based Senior Managing Director of FRM.The transaction, subject to customary closing requirements, is expected to close in the third quarter of 2014.BC