Jupiter has confirmed that F&C US small cap star Robert Siddles is to join the firm, Wealth Manager can reveal.
Siddles will run US small cap portfolios at Jupiter alongside Sebastian Radcliffe and assist on a range of mandates, including the Jupiter North American Income fund, which has returned 49.4% over the last three years versus a sector average of 46%.
He is also expected to keep his top performing £155 million F&C US Smaller Companies investment trust, which sits on a 2.3% premium, after its board said it intends to follow Siddles to his new firm an announcement late yesterday afternoon.
'The board's current intention is to serve notice on F&C and to retain the services of Mr Siddles as the company's investment manager at his new employer,' the investment company told the stockmarket.
In the three years to the end of September the trust's share price rose by 179.6% and its net asset value by 165.1%. This compares to an average NAV growth of 142.8% in the peer group.
'Robert is a seasoned investor. We believe there continue to be profitable opportunities for investors in US equities and look forward to developing our strategies in this area,' Jupiter chief investment officer John Chatfeild-Roberts said in a statement.
Siddles added: The temporary impact on economic growth of the US government shutdown may be grabbing headlines but this does not change the fact that the US is home to some of the most promising smaller companies in the world.
'Jupiter has an impressive track record as a stock-picking house and I am very much looking forward to working with Sebastian and the broader fund management team.'
F&C's Nish Patel, who has worked as a deputy fund manager for the last six years, will assume control of the F&C US Smaller Companies Oeic and a Sicav version of the fund once Siddles exits at the end of the year.
Siddles is leaving these portfolios in a good position, having posted a 105% return with the Oeic over five years versus an 87% rise in the Russell 2,000 index. The fund has also outperformed over three years, returning 62.8% versus a 61% rise in the benchmark.
F&C said it is well-stocked to cope with the loss of Siddles. 'The broader F&C Smaller Companies team is a well-resourced and experienced team with over $2.1 billion invested in smaller companies,' it said in a statement. 'F&C is committed to our very successful smaller companies capability.'