Investments  

Lord Rothschild steps down as chairman of trust

Lord Rothschild steps down as chairman of trust

Lord Rothschild will retire as chairman of the £3bn RIT investment trust, a vehicle in which he and his family have more than £300m invested.

Lord Rothschild, who co-founded the company that is now St James's Place in 1991, chairs the trust and is involved in asset allocation, but the day-to-day investments are managed by Ron Tabbouche, who is chief investment officer at J Rothschild Capital Management.

Data compiled by Canaccord Genuity showed Lord Rothschild and family have an investment of about £330m in the trust.

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In an announcement to the stock exchange it was confirmed Lord Rothschild would be succeeded as chairman by Sir James Leigh-Pemberton, a former investment banker at Credit Suisse and son of a former governor of the Bank of England. The change will become effective from September 30, 2019.

RIT has returned 74 per cent over the five years to 25 April, compared with 40 per cent for the average trust in the AIC Flexible Investment sector in the same time period.  

The trust trades at a premium to its net asset value of 8.5 per cent.

Lord Rothschild said: "RIT's succession arrangements have been progressing smoothly over several years. During this time, we strengthened the board, empowered the executive committee and deepened the team.

"Francesco Goedhuis has proven to be an exemplary chief executive of the company's investment manager, JRCM, and the appointment of Sir James Leigh-Pemberton as chairman of RIT is the final piece of the plan.

"I am delighted to accept the board's invitation to become president of the company and thereby maintain my ongoing and active involvement with RIT.”

david.thorpe@ft.com