News
for The Wall Street Journal: The King of Risky Hometown Bonds Is Back
josé a. alvarado jr.
Sep 26, 2024
Summary
Former Nuveen executive John Miller begins a second act at First Eagle
Buying the riskiest bonds in the $4 trillion market for state and local debt had made Miller a power player in a corner of Wall Street often derided as staid and boring. But the 2022 bond rout drained billions from his flagship high-yield fund at Nuveen. Last year, on Miller’s 56th birthday, the trillion-dollar asset-management company abruptly announced plans for his departure.
Now, Miller is on the rebound. He joined forces with a boutique firm, recruited a handful of analysts and traders and, earlier this year, started a fund from scratch. Money is pouring in: about $3 billion this year through August, according to Morningstar Direct.
The lanky fitness buff, whose latest hobby is riding an electric hydrofoiling surfboard, reflected on the changes on a recent Thursday from his new office at First Eagle Investments’ Chicago location. It’s just a few blocks south of Nuveen’s glass tower, where Miller used to supervise more money in municipal bonds than First Eagle manages in total. That fits with his new investing philosophy, he said: Bigger isn’t always better.
Photographed for The Wall Street Journal, with words by Heather Gillers
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