Marathon Asset Management, which had a run-in with some of its
investors after deciding to restrict redemptions at the end of
2008, has won one of nine fund manager spots on the U.S.
Treasury's legacy securities investment plan.
Under the Public-Private Investment Program (PPIP), the
government provides loan and leverage assistance for the
purchase of assets (primarily mortgage-backed securities) that
are still clogging bank balance sheets. It is a potentially
lucrative arrangement for participating firms.
The bonus for Marathon is that its selection came after a
thorough vetting by Treasury that could serve as a stamp of
approval for the...