Swiss investment manager GAM Investments today announced a new partnership with Investcorp-Tages, a transfer of its UK equity income team and the launch of its private shares strategy into Europe.
The announcement comes after the failed takeover of the company by Liontrust, which failed to obtain majority support from GAM shareholders for the acquisition.
Today GAM also said that “client engagement regarding the commitment from long-term anchor investor NJJ Holding SAS, the investment holding company of Xavier Niel, has been positive and provides a strong platform for future growth”.
GAM has entered into a CHF100m (€104m) agreement with Rock Investment, which is part of NJJ Holding SAS, the investment holding company of French telecoms billionaire Xavier Niel. Rock is a member of the ‘NewGAMe’ investor group that comprises Newgame SA and Bruellan SA and controls around 9.6% of the issued share capital of GAM.
The partnership with Investcorp-Tages (IVCT) sees the investment team of GAM’s global rates strategy move to IVCT but continue to manage the strategy for GAM as a delegated manager.
Once the transition is completed, expected in the beginning of 2024, the fund will be co-branded and continue to be distributed by GAM, with IVCT also distributing the fund through its client channels.
Separately, GAM will transfer its UK Equity Income Fund, along with two portfolio managers, to Jupiter Asset Management.
In early 2024 Jupiter will become the delegated investment manager for approximately six months. The fund will then transfer to Jupiter and as a result of the agreement to transfer, there will be a 12-month revenue sharing arrangement.
Lastly, GAM today said it would be launching its private shares strategy into the European market and in the UK for the first quarter of 2024.
The Private Shares Strategy is a late-stage venture capital strategy, managed by established US private markets group, Liberty Street Advisors.
GAM had CHF64.9bn in assets under management as of 30 September 2023. It ran into trouble in 2018 when it suspended the head of its absolute return bond team, triggering a loss of nearly CHF30bn (€27bn) in assets and subsequent liquidation of the funds.