View more on these topics

RAM deal puts Insight among big fund firms

Insight Investment has bought Rothschild Asset Management for £61m in a deal which the HBOS subsidiary says elevates it into the upper tier of UK fund management groups.

The deal, which prices the business at just 0.55 per cent of its assets under management, includes RAM&#39s multi-manager operation as well as its range of retail and institutional funds, which total £1.4bn and £9.6bn respectively.

The deal also includes more than £20m of net cash but not the Rothschild brand.

Insight, which now has £68bn under management, says RAM represents the best possible fit and the firm is “great value”. The Rothschild family is believed to have been hoping for £100m-£150m but will not comment on the price, saying it is “pleased” with the deal.

With a significant amount of fund overlap, Insight admits that there will be redundancies and fund consolidation in the new year.

RAM head of retail Nick Hodgson says he will leave the company after the integration, which should be finalised next summer, subject to the deal getting FSA approval.

However, a number of senior appointments have already been made. David Kiddie, currently RAM equities chief investment officer, becomes Insight&#39s retail CIO while Gary Mairs, Insight&#39s managing director, becomes deputy chief executive and chief financial officer.

RAM fixed-income CIO Abdallah Nauphal becomes Insight&#39s fixed income manager director while Insight chief investment officer Michael Deakin retains overall responsibility for fixed income, cash, equities and property fund management.

David Norman, Insight&#39s marketing director, becomes retail managing director.

He says: “It is a great deal. It puts us in a world-class position very quickly and the fit could hardly be better. Multi-manager was something we were keen to get in to and this gives us scope to grow in that area.”

Hodgson says: “RAM will be able to benefit from being part of a much bigger organisation – Insight is spending money when most companies are not.”

Simpsons of Brighton IFA partner Mark Waters says: “Insight is being very aggressive and this is a very good deal for them. RAM was never big enough to survive this market.”


Out of context

•”Those big balls hurt my fingers.” – IFA Promotion marketing manager Karen Barrett.•”I am orgasmic with anticipation at how I am going to spend my £35.” – DBS member looks forward to his Misys Christmas bonus.•”I thought we could all start with a chorus of Always Look on the Bright Side of Life.” – Aifa […]

Friends adds two SRI funds to bond

Friends Provident is adding two socially responsible funds, the Ecotec and Stewardship international funds, to its lump-sum Investment Portfolio bond.The Ecotec fund is managed by Mark Thompson and Robert Pemberton at Friends&#39 investment arm Isis Asset Management. It invests in smaller companies in the global environmental technology sector, which offer long-term growth potential.Holdings in the […]

DBS run-off deal excludes retired members

DBS is reinstating run-off cover but only for current members, leaving retired members vulnerable to claims.Run-off cover was withdrawn four months ago when the network renewed its PI policy through Misys&#39 regular broker Windsor, rather than the established DBS broker PYV.The rejig was put down to aligning the five Misys networks ahead of the merger […]

When will Green shoots appear?

Those who want to make a difference to pension policy should seize this moment.The predicted failure of next week&#39s Green Paper is your chance to make sure that meaningful change comes about by the time of the next Green Paper in, say, 2006.If the consensus of opinion is to be believed, next week&#39s document will […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm