Former Morgan Stanley (MS, Financial) executive Gregory Fleming is joining forces with the Rockefeller family and Viking Global to form a new investment firm.
Fleming has signed on as the CEO of Rockefeller Capital Management, the new firm by Rockefeller Financial Services. The firm, owned by the family of John D. Rockefeller, manages $16.2 billion in assets.
The parties announced the deal in a joint statement.
Fleming left Morgan Stanley in January 2016 after realizing that he would not be replacing CEO James Gorman. He also served as executive vice president at Merrill for four years before advancing to president. He started his career at Booz Allen Hamilton, a consulting firm.
The former Morgan Stanley executive says "the story is in the growth that we're going to add to the existing platform."
Although the Rockefeller family has a well-known name, CNBC says the firm is not considered a prominent one on Wall Street. The wealth management firm manages money for foundations, institutions and endowments and works primarily with high net-worth clients.
Now that Fleming has joined the team, the firm expects to venture into strategic advisory, global equities and environmentally conscious investing.
Viking Global Investors will invest in the business through one of its own funds. Viking is one of the largest hedge funds in the world, managing about $25 million in assets.
Along with Viking, the firm will be co-owned by a trust of the Rockefeller family.
"We're creating a broader footprint for the family," said Fleming. "We're hoping Rockefeller is an even more widely recognized name with a greater set of clients."
Fleming says the firm will start offering wealth management for high net worth and $5 million to $10 million to invest. The strategic advisory business would allow wealthy entrepreneurs to either sell their companies or change business strategies.
Rockefeller Capital plans to hire analysts, investment bankers, financial advisers and portfolio managers, Fleming said.
The details of the Rockefeller deal have not been disclosed, but sources familiar with the matter have confirmed a report from the Wall Street Journal that said Viking paid nine figures for its majority stake. The report also states that the firm has committed to invest more.
Fleming joins a strong list of other former executives who have either founded or joined independent firms, including Rob Mooney, Lyle LaMothe and Greg Franks.
"We look forward to Greg's leadership and Viking's support to expand the Rockefeller platform and bring new products and services to our clients," said David Rockefeller Jr., Rockefeller Financial Services chairman.
Disclosure: Jacob Maslow does not have any stakes in the mentioned equities.
