Baring Asset Management Ltd.(BAM), now part of Internationale Nederlanden Groep N.V. (ING), was not connected with the downfall of Barings Bank Plc -- but it has been affected by the ripples the merchant bank's collapse caused, said BAM's managing director.

Since the beginning of 1995, BAM's assets under management have declined by about $2.4 billion or six percent, said Mr. Peter Hartley, speaking Monday at the annual Barings/Kast Investment Management Ltd. seminar held at the Hamilton Princess.

BAM, with $40.9 billion under management, provides investment management services from equity, fixed interest and property portfolios for pension funds, government agencies, charitable organisations, companies, unit trusts and private investors.

Barings Bank collapsed in late February after Asian futures and options moves by trader Mr. Nick Leeson resulted in losses around $1.4 billion sending the bank into the hands of court appointed administrators who would sell it for a pound ($1.61) to Internationale Nederlanden Groep NV (ING).

ING would assume the bank's liabilities.

ING, a public company with $14 billion in capitalisation, is the seventh largest financial institution in Europe by market capitalisation.

Capital is now returning to BAM via increased investments from existing clients, said Mr. Hartley.

Former clients are requesting "we re-pitch'' for their business while some who left are returning on their own initiative, said Mr. Hartley, a member of the five-member BAM executive committee which is responsible for managing the company.

"We are pleased to see cash flow increase from existing clients who have shown a great deal of confidence in our ability,'' he said.

And the company's investment professionals have remained, he said.

Turnover has been "normal'', he added.

Since January, nine investment professionals have left BAM, two have joined the team and total investment professional staff worldwide is about 150, he said.

"There is no conflict of interest and I don't think we could have found a better partner than ING,'' he said. "There is no change in the way we manage money.'' ING, like BAM, is very committed to the emerging markets and ING has been able to open many doors for the company, he said.

On the global investment front, BAM continues to be bullish about Japan, he said.

"We have reduced USA primarily in favour of Japan,'' the company said. Mr.

Hartley said BAM is also bullish on French equities and said investors should have "as much in emerging markets as risk tolerances can bear while France looks fantastic''.

Mr. Hartley, a Chartered Accountant, joined Barings in 1969.

For ten years he was responsible for the management of the group's UK pension and charitable funds in Far East markets and in 1978 he moved to Hong Kong to manage pacific basin funds then returned to London in 1980.

He then managed the group's North America business and in January of this year returned to the UK to assume overall responsibility for Barings' institutional business.

The seminar also included presentations by BAM directors Mr. Alan Frame, Ms Kate Munday and Mr. David Sowden speaking on fixed income/currencies, continental Europe and emerging markets respectively.