Dresdner RCM UK investment desk suffered a serious blow this week as star mid-cap manager Derek Lygo became its third high-profile departure in a year.
Lygo, who manages the UK mid-cap and UK growth funds, is quitting Dresdner for First State Investments, where he will become the new head of UK equities.
Dresdner head of UK equities Neil Dwane will assume control of the UK growth fund with immediate effect while Lygo will continue to manage the mid-cap fund until his departure in October.
The UK growth fund will have seen two changes of manager in less than a year after star manager Justin Seager left for Jupiter last September. Dresdner UK equity income manager Paul Sheehan also left for Jupiter in May.
Dwane says: “I am reasonably relaxed that we have a reasonably strong team to put to both the institutional and retail marketplaces.”
Bates Investment head of research James Dalby says: “I think they are a little bit in disarray. Cert-ainly, we suspended their UK funds a couple of mon-ths ago. We were just not convinced there was any stability to the UK team.”