AT THE BELL

Cowen banking on its sale

Cowen & Co., one of New York’s last remaining midsize investment banks, has put itself on the block, reports InvestmentNews sister publication Crain’s New York Business. Cowen has hired M&A powerhouse Lazard Freres & Co. to pursue the sale, sources say, and it reportedly is asking for at least $300 million. Discussions recently have occurred with five major financial institutions, including BankBoston Corp. and Paris-based Societe Generale.

soft-dollar disclosure urged

“Soft dollar” arrangements – free investment research received in exchange for directing brokerage trades – should be disclosed to clients for over-the-counter trades, which involve no commissions, say guidelines proposed by the Association for Investment Management and Research, a group of money management professionals. Other guidelines on the controversial practice have governed only commission-based trades. The issue is of increasing interest to financial planners who use soft-dollar research themselves, or who depend on brokers with such arrangements, as the Securities and Exchange Commission has begun cracking down on soft-dollar abuses over the past year.

Peregrine unit seeks angel

In the wake of the bankruptcy of its majority shareholder, Peregrine Asset Management is fielding offers for the 75% stake owned by Peregrine Investments Holdings – part of the Peregrine Group, the large Hong Kong investment banking firm that collapsed last week. The asset management group has a separate balance sheet and is neither in liquidation nor in default, according to a spokeswoman, who declinedto identify the bidders. The remaining 25% of the money manager is owned by its principals. Peregrine Asset Management, which has its U.S. office in San Francisco, runs several offshore funds and the $11 million U.S.-registered Peregrine Asia Pacific Growth Fund.

Buy-happy AMG rolls an 11

In its first acquisition since going public in November, Boston-based Affiliated Managers Group Inc., which owns 10
mutual fund firms already, announced that it plans to purchase 68% of the stock of Boston-based Essex Investment Management Co. Inc. in a $120 million stock and cash deal expected to close by midyear. Essex management will retain oversight of the firm, which manages $4.3 billion of assets in private and institutional accounts. AMG has $45 billion in assets.

Deadline on pension filings

State-registered advisers who advise companies on their pension plans must file their state registration forms with the Department of Labor by Nov. 10. Filings after that date should be made directly to the Labor Department. The filings are required under a 1997 amendment to the Employee Retiree Income Security Act that allows state-registered advisers to consult with companies on their 401(k) and other pension plans. Information can be obtained by calling 1-800-998-7542, or at the Pension and Welfare Benefits Administration’s Web site: www.dol.gov/dol/pwba.

Not up to date in Kansas City

The parent company of the Denver-based Janus and Berger fund families is delaying the spinoff of its railroad unit while it assesses market conditions in the railroad industry caused by the operational problems at Union Pacific, a spokesman says. Also distracting Kansas City Southern Industries Inc. is a potential strategic alliance with an unidentified rival railroad. The company now is aiming to complete the initial public offering of its railroad division in the second quarter, but there are no guarantees, the spokesman adds.

Etc.: Realty giant plans fund

LaSalle Partners Inc., a Chicago-based international real estate operator, is set to launch an open-end, no-load mutual fund investing in real estate investment trusts. LaSalle, which oversees $15 billion by providing investment banking, property management and corporate services, is a bit late to the game: Already, there are 65 funds investing in the $140.5 billion REIT market. . . Realty veteran Marvin Chudnoff has been appointed vice chairman of Julien J. Studley Inc. in New Y
ork. He will remain chairman of the Equadyne Co. Mr. Chudnoff brings 35 years of real estate experience to the new post, having held high-level positions as a developer, broker, asset manager and consultant. The former chairman of Balcor Co., he has known Studley’s chairman, Julien J. Studley, since beginning his career.

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