Wells Fargo & Co., the biggest U.S. bank by market value,bought a stake in Rock Creek Group LP to provide more hedge-fundofferings to clients amid a push to double the asset-managementunit within seven years.

The lender purchased a 35 percent stake in the Washington- basedfirm and has an option to make a controlling investment, WellsFargo asset-management chief Mike Niedermeyer said in an interview.Rock Creek oversees about $7 billion, giving clients access tohandpicked hedge funds and emerging markets, the bank said in astatement, which didn't disclose financial terms.

“We view this as one of the fastest-growing segments in theasset-management business,” said Niedermeyer, whose businessmanages $450 billion for customers at San Francisco- based WellsFargo. “While it's of a greater interest to larger clients, it'squickly becoming a larger area of focus for middle-size and smallerendowments, and state pension funds.”