View more on these topics

GMAC-RFC becomes asset management company

GMAC-RFC has revealed it is set to merge with GMAC European operations to become an asset management company.

Between now and the end of the year its UK and continental European businesses will transition to form an international Asset Management Company. It says it will not be lending new loans for the foreseeable future.

GMAC-RFC will now be responsible for managing over £16bn of assets across four servicing platforms in the UK, Netherlands, Germany and Spain.

It says it will focus on preserving quality and marketability of the assets. As a result there will be a workforce reduction of approximately 130 roles in the UK business, including all of its sales staff.

Simon Knight, who will remain as chief executive of the new company says: “While we have announced today this change of strategy, we retain our desire to lend in the UK and will continue to seek opportunities to do so, but given market conditions our priorities must change.”

Recommended

Meteor closing in on deal

Meteor Asset Management says it is close to securing a new counterparty for four structured products originally earmarked for Lehman Brothers.

US bailout agreement reaction

A tentative agreement has been reached in the US over the government’s proposed $700bn lifeline, which could force the financial services sector to cover any losses on the rescue plan.

Investment clock economic update

In the latest Investment Clock economic update, Ian Kernohan, Senior Economist at Royal London Asset Management, discusses the implications of the US Federal Reserve’s recent hike in interest rates and upcoming French presidential election. The value of investments and the income from them is not guaranteed and may go down as well as up and […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment