Two of the industry’s highest profile advisers who backed New Star Asset Management from launch are playing down their holdings as it floats on the Aim this week.Hargreaves Lansdown director Peter Hargreaves has seen his 50,000 investment more than double to 120,000 in five years while Chelsea Financial Services managing director Darius McDermott has enjoyed a healthy, albeit lesser, return after buying in slightly later. Both will be able to cash in immediately on Friday when the fund firm floats on Aim but staff will be restricted by a four-year lock-in period. The float sees just 14.7 per cent of the business being placed at 225p a share, valuing the firm at 704m – equivalent to 4.5 per cent of its 15.2bn funds under management. This means chairman John Duffield’s stake will be worth 120m while chief executive Howard Covington and star fund manager Richard Pease will be worth around 22m each on paper. The four-year staggered lock-in of key staff means there are restrictions on how many shares they can sell in a year until 2009. The firm has promised to pay a dividend of at least 3p in the first year, which equates to a yield of 1.3 per cent, and says it is likely to move toward a full listing after it has built up a longer trading record. Hargreaves says: “I paid 50,000 five years ago and the shares are now worth about 120,000. Yes, it has been a good investment but has it materially affected my wealth? I will leave it for you to surmise. It never affected my decisions whether to promote New Star, I can assure you.” McDermott says: “I am not going to sell the shares but I must own less than 0.001 per cent of the company.”
Sonia Speedy starts off a series on pensions around the world with a look at her native New Zealand
Portman Building Society
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Vertex has reaffirmed its commitment to The Exchange, promising continued investment and revealing that it has turned down bids for the portal since it bought Marlborough Stirling in May. The news comes as Marlborough Stirling is rebranded Vertex Financial Services – a move widely predicted since the takeover – although The Exchange brand will remain. […]
Aberdeen Asset Management is looking to make an impact in the defined-contribution pension market after acquiring a life company as part of its Deutsche deal. The firm is rebranding Deutsche Asset Management Life and Pensions Company into Aberdeen Life. Aberdeen head of sales and marketing Gary Marshall will become chief executive of the life company. […]
Jelf Employee Benefits highlights new legislation, key requirements and policy considerations when structuring international private medical insurance (IPMI) for expatriate employees in Qatar. This edition will be of particular interest to global human resource directors, compensation and benefits specialists and mobility managers who have employee populations in Qatar.
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