Marsh & McLennan, the US insurer preparing to sell its fund management unit Putnam Investments, has earned a buy rating from a second major investment bank, which thinks the shares will rise once the funds business is sold and improvements are made to a brokerage division.

The upgrade is the second from a major bank since the stock fell below $25 in August. Marsh's share price has suffered since October 2004 when the company was named by Eliot Spitzer in a bid rigging lawsuit. Chief executive Jeffrey Greenberg resigned and was replaced by Michael Cherkasky.