Prudential Financial Inc. (PRU), the second-largest U.S. life insurer, promoted Hal Collett to president of the asset resources unit, where he’ll oversee servicing of about $69 billion in commercial mortgages.
He replaces Catherine Rodewald, who plans to retire at the end of this year, the Newark, New Jersey-based insurer said today in a statement.
Prudential is expanding in commercial mortgages as the insurer seeks to boost investment income with interest rates near record lows pressuring bond yields. The unit had $69.4 billion in its loan servicing portfolio as of Sept. 30, up from $66.9 billion a year earlier.
“We are excited to have an executive with the breadth and depth of Hal’s experience,” David Twardock, president of Prudential Mortgage Capital Co., said in the statement.
Prudential services and originates loans for the insurer’s general account and institutional clients. Warren Buffett’s Berkshire Hathaway Inc. (BRK/A) is also betting on commercial mortgages after a 2009 deal with Leucadia National Corp. (LUK) to create Berkadia Commercial Mortgage.
Collett, 38, joined Prudential Mortgage Capital in 2002 and his most recent job there was vice president of asset management and credit surveillance. He previously was manager of investor reporting at Orix Capital Markets. A graduate of Texas Tech University with a master’s in business administration from the University of Texas at Arlington, he is based in Dallas and will report to Twardock.
To contact the reporter on this story: Zachary Tracer in New York at email@example.com
To contact the editor responsible for this story: Dan Kraut at firstname.lastname@example.org