acquired by Goldman Sachs Asset Management, the global investment management division of Goldman, Sachs & Co.

A definitive agreement has been executed for the purchase of the business of Commodities Corp. Ltd. (CCL), which is owned by Bermuda-based reinsurer Stockton Re's parent, Stockton Holdings Ltd.

CCL manages about $1.8 billion of proprietary and investor assets, which it invests in futures and other markets, as it has for over 27 years.

One part of the deal has Goldman Sachs in a long term arrangement to provide the investment services to Stockton that had previously been provided by CCL.

And Goldman Sachs will take an equity stake in Stockton Holdings.

Subject to the various approvals, the transaction is expected to close in 90 days.

Robert G. Easton, president and CEO of Stockton Holdings said, "We believe this agreement will be of great mutual benefit to Goldman Sachs and Stockton, which should translate to even more diversified investment approaches to enhance our financial returns and those of CCL's clients.'' He also said, "Stockton will continue to have the vast majority of its assets invested in accordance with CCL's diversified investment strategies, and as a result we believe will continue to distinguish itself vis-a-vis its competitors. Our outstanding trading rates of return for the fiscal year just ended are continued testimony to the success of these strategies.'' Stockton subsidiary purchased Co-CEO of Goldman Sachs Asset Management, John P. McNulty said, "The unique CCL strategies, which have proven to be highly profitable on a risk-adjusted basis over an extended period, will provide attractive portfolio diversification opportunities for our institutional and individual investors worldwide. In addition, CCL's trader development programmes and risk analysis expertise will be important enhancements to our portfolio.'' This is the third acquisition by Goldman Sachs Asset Management in less than a year. The other two include one of the largest managers of British pension funds, CIN Management, and Liberty Investment Management, a Tampa-based firm with $5 billion in its portfolios.

Goldman Sachs Asset Management's acquisitions, together with strong internal growth, has doubled the size of the asset management business over the last year to more than $106 billion in assets.