Walder has also spent time as Bristol’s backs and skills coach and joins Exeter as the club comes to the end of their worst season in the top flight.
They have won just four Premiership games all season and are guaranteed to finish second from bottom.
Walder will be part of the Exeter coaching team for Sunday’s trip to Harlequins.
“I’ve known Dave a long time, and I really appreciate the work he put in for a lengthy period at Newcastle,” Baxter said.
“I thought he did a fantastic job there with relatively limited resources. He always brought out the best in the group that he had working with him.
“More recently, he’s been working with some of our England Under-20 players, and those guys have only had positive things to say about him.
“It’s fantastic for us to have someone of his experience and capabilities joining us.
“Hopefully he’ll take us forward with our attacking game and how we want our backs to play. With him coming on board, we’re really looking forward to getting on with the remainder of the season.”
