Lehman Brothers' plans to buy investment manager Neuberger Berman look set to ramp up the firm's private wealth management business significantly. The group's recent confirmation, that it was in advanced merger discussions with Neuberger Berman for roughly $3 billion in stock and cash, prompted speculation about the merits of such a move on Wall Street. An acquisition would boost Lehman's hedge fund business in the U.S. since Neuberger purchased investment manager LibertyView Capital last December. LibertyView currently has managed assets around the $1 billion mark.
In addition, the acquisition would help Lehman diversify its earning composition by adding