Old Mutual Unit to Take Over Affiliate

Old Mutual Asset Management, a U.S. subsidiary of Old Mutual PLC in London, said Friday that its unit Barrow, Hanley, Mewhinney & Strauss Inc. will take leadership of a sister company, Pacific Financial Research Inc., after the planned departures of Pacific's principals, James H. Gipson, Michael C. Sandler, and Bruce G. Veaco, on Dec. 31.

Pacific Financial is the investment adviser to Clipper Fund Inc., subadviser to Clipper Focus Fund, and adviser to numerous institutional clients. Like Pacific, Barrow Hanley manages equity portfolios in a contrarian, value style that emphasizes individual stock selection, Boston-based Old Mutual Asset Management said.

The managements of Barrow Hanley and Pacific Financial are working with Old Mutual Asset Management to structure the reorganization and ensure a seamless transition, the company said. Separately, the independent directors of Clipper Fund and Clipper Focus Fund notified shareholders that they are working with Pacific Financial and Old Mutual to ensure uninterrupted portfolio management and are considering the reorganization of Pacific Financial, which Mr. Gipson founded in 1980 in Los Angeles.

Old Mutual Asset Management oversaw $209 billion of assets at June 30, of which Barrow Hanley managed $50.5 billion and Pacific Financial $17.7 billion.

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Wealth management
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