A key member of the compliance team at structured product provider Arc Capital & Income has left the firm in a restructure.
Paul Fox, who was part of a team of four responsible for day- to-day compliance oversight, left the firm last week.
ACI says it has slimmed down the compliance team as part of cost-cutting measures. It says no other cuts are planned and insists the restructure is unrelated to the FSA’s ongoing review into Lehman-backed structured products. Fox joined Arc Fund Management following the acquisition of Nvesta from Eurolife Assurance Group which went into administration in 2006.
ACI was offloaded by Arc Fund Management last year in a management buyout by finance director John Gracey. Gracey, who is now a director at ACI, has taken on Fox’s role.
A spokesman says: “Everybody is looking to trim their costs. It is nothing to do with the review, it is just Gracey structuring the business.”
The latest departure follows the resignations of managing director Chris Powell and sales and marketing head Shane Whitehead earlier this year.
Product development is now being led by Anjam Butt and sales and marketing by Peter Raku.
Last week, ACI confirmed it has held discussions with the FSA as part of the regulator’s review of Lehman-backed products and is continuing to offer new products while dealing with the issues raised.