BBH’s strong investment culture, especially within fixed income, and ability to adapt to changing market dynamics continue to earn it an Above Average Parent rating. When the deal to sell State Street its global custody business fell through in late 2023 amid regulatory issues, for example, the firm in January 2024 consolidated its Investment Management and Private Banking businesses into a new division, Capital Partners, headed by firm veteran Jeffery Meskin. The transition was smooth, and JP Paquin, who had overseen Investment Management, remains with BBH as a limited partner.
Most of the firm’s USD 72 billion in assets under management, as of September 2024, was in separately managed accounts, while its USD 21.7 billion US mutual fund business largely stems from these strategies. More than a third of its mutual fund assets are in the ultrashort bond fund BBH Limited Duration, which has delivered compelling long-term results. The firm’s other investment options are reasonable and run with the BBH’s dedicated investors in mind, including a willingness to close capacity-constrained strategies to protect current shareholders.
Fees are mediocre for the lineup as a whole, but the managers invest not only in their own strategies but also have a part of their compensation invested across other strategies offered by the firm, helping to further align their interests with investors’.
Note: This share class' Parent Pillar rating is analyst-driven, as its Branding Name, BBH (Branding Name ID: BN00000821), is covered by Morningstar Manager Research.
United States