By David French
NEW YORK, Feb 24 (Reuters) – Neuberger Berman is exploring a potential expansion of its insurance capabilities, people familiar with the matter said, highlighting the ongoing allure of insurance assets for money managers seeking new revenue streams and boosted returns.
The asset management firm is considering options including the creation of an entity that would allow it to buy life insurance assets, said the sources, who cautioned that the exploration process was ongoing and there was no guarantee of Neuberger establishing such a business.
They also spoke on condition of anonymity to discuss confidential deliberations.
Neuberger declined to comment.
Buying life insurance and similar products, such as annuities, has been a model for asset managers in recent years. The benefits for the money manager include earning fees from managing the underlying insurance assets, as well as generating higher returns by deploying the assets into its other investment strategies.
Neuberger, which had $563 billion of assets under management at the end of 2025, has a long history of handling insurance assets, traditionally on behalf of insurance company clients.
Its insurance solutions unit has been growing rapidly in recent years, holding $98 billion of assets at the end of December, up from $86 billion at the end of September, according to its website. This comes as insurance companies seek access to a wider range of financial products, including asset classes such as asset-based financing and private credit.
New York-based Neuberger announced earlier this month it had agreed to buy the investment manager of McKinsey & Company. MIO Partners manages $26 billion on behalf of current and former employees of the consulting firm.
(Reporting by David French in New York; Editing by Echo Wang in New York and Andrea Ricci )
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