Legg Mason Inc.'s star money manager, Bill Miller, has chosen his successor, though he's not planning to leave the Baltimore firm anytime soon.
The company announced Friday that Miller, 60, has identified Sam Peters to head the Legg Mason Capital Management Value Trust fund once he retires. Peters will join Miller as a co-manager later this year. He will also join Mary Chris Gay, who helps run the $4.4 billion fund as assistant portfolio manager.
But just when Miller plans to leave the company hasn't been decided yet.
Miller, whose 15-year streak of beating the Standard & Poor's 500 index was broken in 2006 — and who beat it again last year — has been a Legg money manager for 28 years. His investment choices are closely watched by the markets and investors.
"I don't think Bill is planning on going anywhere" anytime soon, Legg Mason spokeswoman Mary Athridge said. Athridge said the Peters announcement is part of a long-term succession planning, which it has done in other parts of the company.
"We expect them to serve on the fund for a number of years," she said.
Peters, 40, joined the company in 2005. He manages the Legg Mason Special Investment Trust and oversees investment strategies that target midsize companies. He also oversees the research team. Before joining Legg Mason, he worked for Fidelity Management & Research.
Peters and Miller co-managed the mid-cap strategy for a year and have collaborated on other work.