Have you ever wondered how Wellington Management
pays its partners or how much those partnerships (and the firm as a whole) are worth? The Boston Globe
's Steven Syre reports
that those details and more came to light yesterday thanks to a briefly-available (but now withdrawn and pulled from the Internet) decision from Massachusetts' Supreme Judicial Court in the high profile divorce case of Wellington hedge fund manager Nicholas Adams
Fundsters may recall American Funds' parent, Capital Group, fighting to keep its business details secret in a PM's divorce case back in 2005 (see The MFWire, 10/14/2005
Boston-based Wellington, which manages more than $600 billion and sub-advises funds for giants like the Hartford and Vanguard, tends to keep itself out of the limelight. Like Capital Group, the firm doesn't comment on stories related to itself (and a spokeswoman declined to comment for the Globe's story).
The case reveals several interesting estimates: $9 billion, the value for all of Wellington; $81 million, the value of Adams' partnership stake; $46 million, the amount Adams earned in his peak compensation year, 2008; $300,000, the amount of base pay Adams earned in 2008 (the rest came from "incentive compensation"; three percent, the slice of Wellington's profits Adams earned while he was partner. The case also describes the somewhat intangible metrics on which Wellington bases incentive pay.
Neil Anderson, Managing Editor
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