Conning Inc to manage bond assets for Phoenix Cos.

* Deal makes Conning third-largest insurance asset mgr

* Expected to close in Q4, terms not disclosed

Sept 19 (Reuters) - Insurance asset manager Conning Inc said on Monday it would take over managing the fixed-income portfolio of insurer Phoenix Companies (PNX.N) and acquire the Phoenix team that had been involved in overseeing the assets.

Conning said it will manage about $8 billion in assets under the deal, under which it will also buy the Phoenix unit Goodwin Capital Advisers. Terms were not disclosed; the transaction is expected to close in the fourth quarter.

With the deal, Conning said it will now be managing $85 billion in assets for insurance clients around the world.

That would vault it into third place globally within the industry, according to Insurance Asset Manager, a website that covers the sector. Worldwide, according to IAM, the top five insurance asset manager oversee nearly $650 billion for clients. (Reporting by Ben Berkowitz, editing by Maureen Bavdek)