Investments  

Merian cuts jobs as 'difficult market conditions' bite

Merian cuts jobs as 'difficult market conditions' bite

Merian Global Investors has begun a consultation process on cutting several jobs as it feels the effects of the market conditions currently facing the asset management industry. 

The jobs will not impact on the investment management division or the geographical reach of the company, and many of the roles being cut are in marketing. 

A statement from the company’s chief executive Mark Gregory said: “Against a very difficult market environment, we have conducted a review of our business to ensure we are positioned as efficiently as possible to maximise future growth and reduce expenditure.

“As a result of this review, the business will undergo a restructure. This will allow us to raise revenue, as well as create a more agile business with increased individual accountability and deliver on our growth potential. As a consequence of the restructure, we have launched a consultation process."

It added: “This is not a decision we have taken lightly, and will mean the loss of some very talented colleagues who have contributed significantly to the success of the business.

"However, the actions we are taking now will allow us to achieve our goal of building an outstanding asset manager, with a focus on our clients, building innovative products and enhancing our investment capabilities.”

Merian Global Investors was formerly called Old Mutual Global Investors before being bought out by fund manager Richard Buxton and colleagues including Ian Heslop in December 2017. 

Mr Buxton’s UK Alpha fund suffered sustained outflows from June 2016, when the UK voted to leave the EU, but he told FTAdviser that in October the fund attracted net inflows for the first time in over three years. 

Investors pulled £4bn from Mr Heslop's biggest fund, the Merian Global Equity Absolute Return fund, in the year to the end of August 2019. Since then the fund has shrunk from £6.3bn in size to £3.8bn, according to data from FE Analytics.

david.thorpe@ft.com

What do you think about the issues raised by this story? Email us on fa.letters@ft.com to let us know.