British Empire trust manager Pennink steps down

British Empire trust manager Pennink steps down

Joe Bauernfreund will succeed John Pennink as manager of the British Empire Securities and General Trust as of October 1, the company has said.

Mr Pennink, who joined trust manager Asset Value Investors (AVI) in 1999, has run the trust since October 2002. He remains as chief executive of AVI and will continue to be involved in the investment process.

Mr Bauernfreund joined AVI in 2002 and has been a member of the investment team for the past eight years. He became co-manager of the trust two years ago.

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The £621m trust has significantly underperformed in recent years, returning 8.2 per cent in the five years to September 29 compared with a 46.6 per cent average for the AIC Global sector, according to FE Analytics.

Over three years the trust has returned 9.7 per cent, compared to 33.5 per cent from its peer group.

AVI has also formed a strategic partnership with Goodhart Partners, which will acquire a minority interest in AVI subject to completion and regulatory approval, as well as providing AVI with resources to support its growth.

Mr Pennink said: “The partnership with Goodhart will help us to build the business efficiently and in a thoughtful manner over time”.