ING, the Dutch bank and insurance group, is to exit private equity by the end of the year after a management buy-out led by chief executive Chris Brotchie gives the Baring Private Equity Partners (BPEP) unit its independence.

The exit has been expected for more than two years as part of ING's strategy to focus on core activities. ING will not invest in future BPEP funds, but will honour existing commitments worth $360m (€309m) or 18% of BPEP's total managed assets of $2bn.