The mutual fund giant Wellington wants the business of buying, selling PE Stakes | Company Business News

(Bloomberg) -Wellington Management Co., best known for traditional stock funds, is planning a move to the fast-growing business to buy and sell private shares. The money manager is in talks with potential rents to start a so -called secondary arm to obtain illiquid positions from other investors, according to people who are familiar with the case. The firm works with an executive recruiter and tells candidates about his plans, people said and asked not to be identified because the information is not public. A Wellington spokesman declined to comment. The firm, which oversees over $ 1 trillion assets, has its roots in managing mutual funds. Like other money managers, it is increasingly attracted to the $ 13 trillion private market industry, as the pool of US businesses has publicly traded. Traditional asset managers also struggle with outflow and pressed margins, as customers leave mutual funds for cheaper index products. The shift – and the attractiveness of higher fees – is reforming managers who are best known for picking shares and bonds. Wellington, who has a large institutional customer base, has been investing in private equity for at least a decade and has also supported unicorns such as Wework and Airbnb. In recent years, it has made a more aggressive pressure on private markets. The Boston-based firm this year has a team of four fund managers from Pacific Investment Management Co. hired to start a private real estate credit platform as it aims to grow in private credit. By entering the secondary market, Wellington will provide relief to investors who need cash as a result of a prolonged silence in transaction. President Donald Trump’s tariff war made further trade, which forced the yields-starved pensions to load their stake to second-hand buyers against cash. Meanwhile, elite universities are selling private funds to raise cash in light of threats for their tax-released status. New buyers are now entering the arena and bet that the secondary industry could be past records. In a recent report, exchange -traded fund giant Blackrock Inc., which buys three private market firms in the space of a year, said the growth of the secondary market will accelerate. More stories like these are available on Bloomberg.com © 2025 Bloomberg LP