He takes over Kevin Hayes, who joined Man in 2007 and is leaving the company to pursue other professional and personal interests, the company said.
The sources said that TCW, which oversees about $128 billion in assets, including the TCW and MetWest fund families, could fetch about $700 million.
The 4% decline was due to negative investment returns, including the impact of foreign exchange movements, and modest net outflows in Institutions and Private Client, partially offset by Retail net inflows.
The combined business would oversee funds of close to $700 billion, although no formal agreement has been reached, the source added.
The investment program aims to expand client service and industry capabilities in select strategic markets, bolster the hiring and deployment of top talent, and cultivate innovative new services and multidisciplinary offerings.
The firm currently has no plans to sell the business or a minority stake in it, said one of the people, who asked to remain anonymous because the talks were private.
Hedge funds curbed bullish bets on commodities for a third consecutive month, the longest retreat since the global recession, as Europe’s worsening debt crisis and slowing US job growth sent prices tumbling.