GAM knocks back Schroders' attempt to buy hedge fund unit - reports

Acquisition could hurt overall sale potential

clock • 2 min read

Embattled Swiss asset manager GAM has declined an approach from Schroders to acquire its Systematic division that is home to the Cantab quantitative hedge fund.

According to the Financal Times, Schroders approached the Swiss asset manager with an interest in its hedge fund business, but the firm rebuffed the purchase attempt due to concerns that selling one of its key assets would render an overall sale more difficult. The firm's share price has fallen by more than two-thirds over the course of 2018, with its overall value shrinking to SFr966m ($963m). The fall is rooted in the firm's July warning that Cantab, which it bought in 2016 for an initial $217m cash payment, would see its first-half profits hit by SFr59m in write-offs. This was s...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

NextWealth MD Hopkins on staying ahead of advice sector changes, data challenges and flattening MPS fees

NextWealth MD Hopkins on staying ahead of advice sector changes, data challenges and flattening MPS fees

Making technology work better

Katrina Lloyd
clock 03 July 2025 • 9 min read
IFAs look to boost clients' private markets exposure

IFAs look to boost clients' private markets exposure

Expect increase in stock market volatility

Jen Frost
clock 02 July 2025 • 2 min read
Winds of change: Private markets access for retail investors

Winds of change: Private markets access for retail investors

Investing in LTAFs, accessibility aside, needs careful consideration

Dorian Hughes
clock 02 July 2025 • 5 min read