New Investment Management Firm Seeks Afro-Americans

Contributing Editor

23 November 2005

Robert Johnson, the founder of Black Entertainment TV in the US, has teamed up with Deutsche Bank to form an investment management company. Mr Johnson said the company is designed to be a major black-owned financial services operation. The not yet named company will be majority owned by Mr Johnson, with Deutsche Bank taking a minority stake. Mr Johnson told the Washington Post he and Deutsche Bank began talking about a deal after Deutsche Asset Management representatives tried to enroll him as a client for their wealth management service. The investment manager will initiatively target institutional money. But Mr Johnson said he plans to launch a fund of funds hedge fund, targeted at both high net worth individuals and institutions. "The fact is there is no strong, leading African-American-owned player in this space," Mr Johnson told the Washington Post. He added: "A lot of state pension fund money comes from a growing class of African American and minority workers. And that money is all managed by others, by professionals. I think we can make the case that we have the talent, the skills and the strategic partnership to be a major player in that professional community. It's the same case I made in the cable industry."