UBS hires MSSB hedge fund wiz

Jerry Pascucci, the chief investment officer for alternative investments at Morgan Stanley Smith Barney LLC, is joining the U.S. wealth management unit of UBS AG to run alternatives strategies.

“In our current economic environment, the demand for investment strategies that reduce risk and diversify portfolios — particularly among high-net-worth clients — has never been greater,” according to an internal memorandum announcing his hire from John Brown, UBS’ head of wealth management solutions and Mike Perry, head of wealth management advice and platforms. “To help these clients meet their investment goals, it is critical that we develop a robust alternative-investments platform.”

UBS Wealth Management hadn’t previously had a dedicated head of its alternatives business, spokesman Kris Kagel wrote in an e-mail.

Mr. Pascucci will report to Mr. Perry.

A key part of Mr. Pascucci’s expertise is in situating hedge funds and other alternatives as part of a cohesive investment strategy, the memo said. At MSSB, he managed all the retail brokerage giant’s alternative investment portfolios, the memo said.

Morgan Stanley spokeswoman Christine Pollak confirmed Mr. Pascucci’s departure. She said that his primary responsibility of managing the firm’s alternatives portfolios had been turned over this year to an investment management committee.

Mr. Pascucci has almost 20 years’ experience, including a stint as president of Citigroup Inc.’s commodity mutual fund business, the memo said.

E-mail Jed Horowitz at [email protected].

Related Topics: Morgan Stanley & Co., Smith Barney, UBS AG, Wealth Management