GAM's Services Business Loses £8.5bn Mandate

According to GAM, the unnamed client has around CHF 11.5bn allocated to it, garnering associated revenues of around CHF 6m per year, which represents less than 3% of the fund manager's net fee and commission income for 2021.

Following the announcement on Wednesday (30 March), the client will bring the CHF 10.5bn in assets in house to be managed by their existing management services firm from April next year.

GAM AUM drops £17.5bn in 2021 forcing targets review

Around CHF 1bn of assets will continue to be managed by GAM Fund Management Services.

GAM claimed that its management arm had a "strong pipeline" of future business opportunities in the announcement stating the mandate loss.

Sean O'Driscoll, head of GAM Fund Management Services, said: "We are proud to have helped our client grow their business over a long period and look forward to continue working with them as a trusted partner."

Earlier on Wednesday, the Financial Conduct Authority issued the final notices for GAM International Management and the former investment directory Timothy Haywood, detailing the conflict of interests that arose in their investment into Greensill.

In the notices, the FCA published new details, along with previously known information.

These included that Greensill had offered GAM an equity warrant and a "fee ramp" in October 2016 around the time of its investment into the special purpose vehicle Laufer and issues around the creation of a new class of the supply chain finance fund.

RECENT NEWS

What A Rising VIX Means For Pension Funds

Wall Street’s latest selloff has moved beyond a technology-sector wobble and become a broad market event. The Nasdaq C... Read more

Behaviour Cannot Fix A Portfolio Construction Flaw

A Retiree Shouldn't Be Asked to Behave Their Way Out of a Portfolio Construction Problem Why behavioural coaching shoul... Read more

Behavioural & Retirement Portfolio Resilience

Behavioural Survivability and Retirement Portfolio Resilience Why the lived experience of market recovery matters as mu... Read more

Australia's Rate Rise Bites: Highest In 15 Years

The Reserve Bank of Australia has lifted interest rates to their highest level since 2011, and its governor admits the w... Read more

October Retirement Portfolio Resilience Assessment

Markets stabl Read more

Gyrostat September Retirement Portfolio Resilience Assessment

September Retirement Portfolio Resilience Assessment Markets have fallen. The price of risk has risen. ... Read more