Pacific Corporate Group last month announced an organizational restructuring, with its private equity advisory business separating from its direct investing and funds-of-funds businesses.
Monte Brem, newly-promoted PCG president, will run the first group, named PCG Asset Management, while PCG Founder and CEO Chris Bower will oversee the second group, named PCG Capital Partners. Both units will report to the PCG board, comprised of remaining partners Brem, Bower, Stephen Moseley, Tara Blackburn, Tim Kelleher and Philip Posner.
PCG says that the reorganization is being implemented in order to keep pace with the evolving needs of its clientele, which includes public pension systems in California, Colorado, Ohio, Oregon, Rhode Island, Washington and New York City.
What it doesn’t seem to do, however, is deal with PCG’s continuing inability to retain investment professionals. At least four pros-Craig White, Peter Martenson, Eric Becker and Rick Fratus-have resigned in calendar 2005, with White lasting just three months. Moreover, PCG special situations fund-of-funds manager Scott Vollmer recently exited the partnership, after a dispute over investment decisions. He and PCG have reached a joint venture agreement, whereby he will continue managing the fund without being a direct employee of PCG.