Activist hedge fund manager Nelson Peltz continued buying up shares of Legg Mason, two months after joining the asset management giant’s board of directors.
Peltz’s hedge fund, Trian Fund Management, bought more than 822,000 Legg shares last week, increasing its stake to 5.3%. Less than a month ago, Trian owned 4.3% of the Baltimore-based firm, which includes hedge fund manager Permal.
One thing’s clear, however: Peltz’s Legg buying spree cannot last forever. As part of the deal that put him on the company’s board, Peltz agreed not to build a stake larger than 9.9% during a standstill period that could run another two years.