RIM, the U.S. asset management arm of Netherlands-based Robeco Group, also said it is in the process of exiting its U.S. municipal bond business in a deal expected to close by June 2008.
NEW YORK (Reuters) - Robeco Investment Management (RIM) <RBEN.AS> on Friday said Morgan Stanley Investment Management <MS.N> agreed to assume control of some $4.8 billion in bond assets as it moves to exit its U.S. fixed income business.
RIM, the U.S. asset management arm of Netherlands-based Robeco Group, also said it is in the process of exiting its U.S. municipal bond business in a deal expected to close by June 2008.
RIM said it decided to exit the U.S. fixed income business because "sufficient scale was not achieved" to allow for "long-term growth." It said it will focus on the business in Europe, where it manages more than $60 billion in global fixed income assets.
The U.S. fixed income assets are currently managed by RIM unit Robeco Weiss, Peck and Greer.
!ADVERTISEMENT!Financial terms of the deal were not disclosed. It is subject to client approval and expected to close in May 2008.
RIM said it chose Morgan Stanley Investment Management because of its "long-standing reputation, strong performance track record and world-class client service."
(Reporting by Dane Hamilton, editing by Dave Zimmerman)
