F&C has been dealt a double blow after fund managers Luke Newman and Makis Kaketsis quit to join an unnamed hedge fund firm.
Newman, who ran the UK special situations fund, and Kaketsis, who managed UK dynamic, were regarded as two of F&C’s best up-and-coming managers after delivering strong performance on the funds they took over in January 2006.
Newman’s £64m fund will pass to Hilary Aldridge, who works on Ted Scott’s Stewardship growth and Stewardship income funds. She is responsible for mid and small-cap selection.
Head of equities Peter Lees and head of smaller companies Catherine Stanley will take over the £87m UK dynamic fund. Lees will also take responsibility for the UK 130/30 fund launched for Newman and Kaketsis only three months ago.
Head of communications Jason Hollands says: “We are sad to lose two good managers who in the future would have been very marketable for the firm. However, none of their funds was core to our retail strategy. Both were fairly small and included a large amount of internal money while the 130/30 fund held seed money alone.”