Gartmore weathers storm
Clients of London-listed fund manager Gartmore have stuck by the fim after the suspension of a top fund manager suspected of breaching internal rules,chief executive officer Jeff Meyer said yesterday.
There had been "no material redemptions" since the suspension of Guillaume Rambourg – the long-time colleague of Gartmore's star fund manager Roger Guy – was announced on Tuesday.
Mr Meyer said: "Clients greatly appreciated hearing about it from us but the reaction has been guarded." He confirmed Mr Rambourg was suspected of directing the company's dealers to use certain brokers when conducting trades, but he said no single broker appeared to have received the lion's share of any favour.
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Hide AdNews of the suspension raised the prospect of redemptions by concerned clients, and Gartmore shares dropped more than 30 per cent to close at 116p on Tuesday but they rallied yesterday and closed at 125p.