Russell, Expected To Be Sold, Hires Key Execs

Russell Investments, which is expected to go up for sale, has recently filled three senior posts.

In May, Russell tapped David Tenney to be managing director of  business growth and development, a spokeswoman says. Tenney is the former co-head of America’s research at Goldman Sachs & Co. He was COO of global investment research at Goldman before he retired in December 2007, an official says.

Last month Russell announced that John McMurray had been hired as chief risk officer to lead the global risk management department within Russell’s office of the Chief Legal Officer. McMurray was previously chief risk officer for the Federal Home Loan Bank of Seattle. Russell also hired Erik Strom as director of government & community relations. Strom was in a similar role at  the Federal Home Loan Bank of Seattle.

Both MacMurray and Strom joined Russell in early September.

The hirings come as Russell is rumored to be going up for sale soon. Northwestern Mutual Life Insurance, which owns Russell, has decided that the money manager isn’t a core asset anymore. Northwestern Mutual bought Russell in 1998 in a deal that was estimated at $1.2 billion. A sale of Russell could fetch $2 billion to $2.5 billion, sources told peHUB.

PE firms will likely be very interested. Buyout shops that have invested in the asset management space include Hellman & Friedman, TA Associates, KKR, Bain Capital and Carlyle Group.