Old Mutual to axe 30 staff in SIG/OMAM merger
Group to cut headcount by 13.6 per cent as Skandia Investment Group and Old Mutual Asset Managers UK merger continues.
Old Mutual is set to cut 30 jobs as part of its merger of two fund businesses, Investment Adviser can reveal.
Each firm has 110 staff in total, meaning the cuts equate to a 13.6 per cent overall headcount reduction.
The integration of Old Mutual Asset Managers UK (Omam UK) and Skandia Investment Group (SIG) is being sprearheaded by Paul Feeney, who joined as chief executive of asset management at Old Mutual Long Term Savings last October.
“We are bringing two companies together and as we said at the time there would always be overlap,” a Skandia spokesman said.
“We are working through that consultation phase with staff and we expect the headcount to reduce by 30 across the entire combined operation.”
Sales and marketing director Simon Wilson announced earlier this month that he would be leaving the firm after eight years.
The 30 job cuts are not expected to include fund managers.
Julian Ide, currently chief executive of Omam UK, is taking over the combined asset manager. SIG’s chief investment officer (CIO) James Millard has been named as CIO of the combined business.
At the end of May, Omam hired RBS head of advisory distribution Steven Brown to lead its advisory distribution.
The group has also hired Warren Tonkinson from UBS as global head of distribution for SIG and Omam.
In April, SIG hired BNY Mellon’s director of UK wholesale marketing Marcus Bolitho as its head of marketing. The move meant Mr Bolitho joined his former BNY colleague Mr Feeney.
The combined firm will feature 51 single-manager funds, with overlap in various areas including Asian and European equities.
SIG has $12.5bn (£7.9bn) assets under management as at December 31 last year while OMAM has £4.1bn as at March 31 meaning the combined entity will run approximately £12bn.