UK- Morley fund management has named Philip Manduca as head of its new alternative investment division which already has e3.2bn in private equity and hedge funds.

Manduca confirms Morley will be developing the existing private equity fund of funds and is launching a number of new hedge and private equity funds. He comes to the job from Dexia BIL where he was head of asset management.

He will report to Malcolm Le May, head of Morley’s European division, who believes there is considerable room for expansion within the sector. “The growth opportunities are amply illustrated by the fact that this asset class still only occupies some 2% off total global assets under management,” he says.

Manduca believes there is evidence that Morley, wholly-owned by the CGNU Group, can build on its existing alternative asset base. “Investors are increasingly recognising the need for absolute return vehicles and the recent changes in economic and market conditions have increased their need for diversification to long only market exposure,” he says.

Morley is one of the UK’s larger investment managers and has e175bn under management.