Gregory Peters, the former Morgan Stanley chief global asset strategist who sounded an early alarm about the financial crisis, is set to join Prudential Investments as a portfolio manager, people familiar with the matter said today.
Peters, who left Morgan Stanley nearly a year ago after 12 years with the investment bank and wealth manager, will be investing in multi sectors and report to Michael Lillard, chief investment officer for Prudential Fixed Income Management and James Sullivan, head of Prudential Fixed Income Management, these people said.
Peters warned in November 2007 that there was a greater than 50 percent chance that mortgage losses would cause a systemic shock that would bring the financial system to a "grinding halt".
He has earned accolades for his prescient macro research. Dan Fuss, vice chairman and portfolio manager at the $200 billion Loomis Sayles, describes Peters as "an outstanding strategist".
At Morgan Stanley, Peters pioneered the firm's Leveraged Buyout targeting screen for credit investors during the LBO boom and launched a cross-asset research product, which included debt, equity, commodities, following the financial crisis.
The Global Cross Asset Strategy, which he developed and led at Morgan Stanley, included products called Global Debates Playbook (GDP) and Cross Asset Navigator (CAN).
A Prudential spokeswoman declined to comment.