As seen on the Blackstone Group's (NYSE: BX) latest earnings conference call, the firm is trying to find ways to diversify its platform beyond buyouts (this is no fluke as other firms, like KKR, are doing the same thing). One of the areas of interest is actually hedge funds.
To this end, Blackstone made a big hire this week, bringing Byron Wien on board as the vice chairman of Blackstone Advisory Services. Actually, he is leaving Pequot Capital Management Inc., which is a hedge fund that is in the process of closing down (assets were as high as $15 billion). The firm is now faces an SEC investigation regarding trading in Microsoft's (NASDAQ: MSFT) stock. This is according to a report in the Wall Street Journal [a paid publication].
As for Wein, he is certainly a big-name in investment management. For more than 20 years, he was the chief investment strategist at Morgan Stanley (NYSE: MS). He is also the author of the famous "Ten Surprises" list, which he comes out with every year.
While he tends to be bearish -- which is probably a good thing for any investment manager -- he certainly made some good calls this year. That is, he thought the equities markets reached a low in the first part of this year and that they were poised for a nice rebound.
Then again, at the age of 76, Wien has a tremendous wealth of experience and wisdom, which now the investors at Blackstone can benefit from.
Tom Taulli is the author of various books, including The IPO Primer and The Complete M&A Handbook
Before the bell: Futures sharply lower on Dubai's debt problems
Will Rich Ross really have a positive impact on Disney's movie operations?
Consumers sick of recession, may spend extra on holidays
