According to a source familiar with the plans, the New York-based firm will make the hires based on market opportunities. In the commercial and residential mortgage-backed securities arena, which includes the US Department of Treasury's Public-Private Investment Programme (PPIP) fund, Marathon will hire one or two employees. It will also add two people in emerging markets investments, one in New York and one in London. Finally, it expects to bring in one or two people in corporate credit.

Robert Olman, president and CEO of Alpha Search Advisory Partners, said Marathon's anticipated hires in these areas were based on the performance of the strategies last year.

“Outsized performers by strategy for 2009 certainly include residential mortgage-backed securities and distressed debt/credit,” he said. “We are seeing sizable build-ups in staffing levels for investment professionals in distressed debt/credit, although less so in asset-backed securities.”