PPM America is ‘‘suspending’’ direct marketing of its value equity strategies to institutional clients and their consultants, said Russ Swanson, president. The three-person marketing staff, led by Jim White and based in Chicago, will be laid off, said Mr. Swanson.
‘‘Our feeling is that value equity management has been experiencing extremely low demand over the last few years and we are suspending direct marketing until such time that the demand picks up,’’ Mr. Swanson said.
PPM America will continue to manage several billion dollars in value equities, mainly for subsidiaries of Prudential, its U.K. parent company, and a few outside clients. The fate of its large-cap and small-cap value equity and high-yield bond institutional mutual funds, which have not attracted any outside client money, is still uncertain, Mr. Swanson said.
Marketing of the rest of PPM America’s strategies — such as core and high-yield bonds, distressed securities and private equity — will be unchanged. Mr. Swanson said most of the $40 billion PPM America manages is from Prudential and affiliates.
