PineBridge’s New Edge03.02.2012
The AIG-spin off asset manager gets a new edge by hiring an external CEO.
PineBridge Investments, the $70 billion, multi-asset class asset manager specializing in alternative strategies, announced new chief executive David Jiang will take into effect on March 1.
Jiang told Markets Media that PineBridge’s roster of ” world-class talent and expertise on the ground in the most important markets around the globe,” is one of the firm’s assets.
“Leveraging expertise and capabilities, I’ll look to utilize my own investment experience, and vision to strategically capitalize on unique investment opportunities,” he said.
The decision marks a new chapter for the firm, which is known for being AIG (American International Group)’s major asset management spin-offs. AIG’s asset management business was sold in 2010 to Asia-based Pacific Century Group and rebranded as PineBridge.
Jiang is also an outsourced executive, and served as previous executive for the Asia-Pacific region for BNY Mellon Asset Management, focusing on building clout in Japan, emerging Asia and Australia. Under Jiang, BNY’s Asia business grew to $50 billion assets under management, across active equity, fixed income, and alternative strategies. He also raised $100 billion for the firm’s exchange traded funds and passive strategies.
Jiang’s background is fitting for Asian-centric PineBridge, but may spin the company in a different direction from exiting CEO Win Neuger, who focused building Pine Bridge’s independence. Neuger will now serve as Vice Chairman, and work directly under Mervyn Davies, Chairman of PineBridge’s board of directors.
The search for an external CEO is also a trend taking up shape in recent years, versus the traditional story of someone who rose their the ranks.
“Somebody who has come up through the ranks may know the operations throughout the firm much better, but … it may be that the resources that the organization really needs are available from an outsider,” says Russell Coff, a professor of organization and management at Goizueta School of Business.
Davies cited Jiang’s commitment to clients, seasoned investment experience, global developed and emerging market perspective, and track record as key assets for PineBridge.
Prior to his work at BNY Mellon Asset Management, Jiang developed an expertise investing for sovereign wealth funds, co-head of BNY’s Sovereign Advisory Board. He also has experienced working with alternative, long-short hedged portfolios at Franklin Portfolio Associates, where he was responsible for $4 billion U.S. and international assets.