Private equity group Kohlberg Kravis Roberts has announced the creation of a new asset management division, KKR Asset Management, and named William C Sonneborn as its head.

KKR Fixed Income will become part of this new asset management division.

Sonneborn will succeed Saturnino S Fanlo, chief executive of KKR Fixed Income, KKR Financial Holdings and KKR Strategic Capital Management, and David A Netjes, the firms' chief operating officer, who are both leaving the group.

Sonneborn will also become chief executive of NYSE-listed KKR Financial Holdings.

Henry Kravis and George Roberts, co-founders of KKR, say: "Bill's success running a formidable, multi-product asset management business is well documented and we welcome the leadership he'll be able to provide during this period of significant change and in the years to come.'

Prior to joining KKR Sonneborn was president and chief operating officer of the TCW Group, an investment management firm with over USD130bn in assets.

"The dislocation in the capital markets is challenging for all asset managers. At the same time, we believe it may result in good investment opportunities. We will be taking the right steps to weather today's turbulence and capture future opportunities," Sonneborn says.