NEW YORK, Feb. 20 (UPI) -- New York Mayor Michael Bloomberg is moving about $5 billion of his personal fortune from the Quadrangle Group to a new investment firm, a spokesman said.
The new firm is to be devoted solely to Bloomberg's interests and that of his charitable firm and will be run by financial strategists who are leaving Quadrangle for the new venture, said Jason Post, a spokesman for Bloomberg.
"The fact that the mayor will be hiring the same team Quadrangle put together to manage these funds shows how pleased he is with their performance, which has been excellent," Post said.
The move is a blow for Quadrangle, a private-equity and investment firm which lost its co-founder Steven Rattner to a post in the Obama administration and has been under investigation by the New York state attorney general as to how it secured an investment from New York state's pension fund, The Wall Street Journal reported Saturday.
Rattner, a close friend of Bloomberg, founded Quadrangle in 2000 as a media-focused private-equity and advisory firm. Bloomberg made his billions building media company Bloomberg LP before becoming mayor of New York.