Sundman takes over from Posner as head of Legg Mason's biggest equity unit. Legg Mason has hired former Neuberger Berman executive Peter Sundman as CEO of ClearBridge Advisors, its biggest equity-investment unit. He replaces Brian Posner, who left Legg Mason in March 2008 -- and subsequently lined up with activist investor Carl Icahn in his pursuit of a seat on Internet company Yahoo's board.

Growing assets

Sundman joined Neuberger Berman in 1988 as head of institutional sales and left as CEO of its mutual-fund complex. As head of ClearBridge, he'll oversee a business unit that manages approximately $68 billion in assets.

"Peter will be instrumental in helping ClearBridge, which has focused its product offering and strengthened its investment capabilities over the past couple of years, expand into new channels," says David Odenath, head of Legg Mason's business in the Americas. "Peter's strong business background in both the institutional and retail channels and [his] track record of growing assets under management at a premier firm will benefit ClearBridge and its growing reputation."

Legg Mason established ClearBridge early in 2006. In effect, it's the asset-management business it bought from Citigroup at the end of 2005.

Neuberger Berman is the investment-management division of failed investment bank Lehman Brothers. A group of Neuberger Berman's senior executives recently got a bankruptcy court's approval to buy 51% of the firm -- to be re-named Neuberger Investment Management -- with what's left of Lehman holding the balance.

Sundman says he's "gratified by the opportunity to join ClearBridge Advisors and believe that the ClearBridge franchise is well positioned for growth, with its research-driven, fundamental, multi-discipline approach and its solid investment culture."

Baltimore-based Legg Mason managed about $842 billion at the end of September 2008. -FWR

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