Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Invesco loses £7bn to Woodford & Threadneedle in SJP overhaul

4 Comments
Invesco loses £7bn to Woodford & Threadneedle in SJP overhaul

Invesco Perpetual has suffered a huge blow in the most significant overhaul of St James's Place fund range in its 23-year history.

As part of the restructure SJP has confirmed it will be following Woodford to his new boutique at Oakley Capital, rather than stick with his replacement on the Invesco UK equity income franchise Mark Barnett.

This will see three mandates transfer to Woodford (pictured): the £650 million UK Equity fund, the £1.44 billion UK High Income Unit Trust and the £1.56 billion Income Distribution fund.

Commenting on the news, Oakely Capital head of retail Craig Newman said: 'We are delighted that St James’s Place wants Neil to carry on managing money on behalf of its clients, ensuring that their long-term relationship continues.

'It is a huge endorsement, not only of Neil, but also of Woodford Investment Management, which is currently seeking regulatory approval.'

Oakley said it would provide Woodford with the infrastructure to alllow Woodford to manage the SJP mandates immediately after his employment with Invesco terminates on 29 April.

Threadneedle win

In a separate blow SJP said it would be replacing Invesco on the £164 million Strategic Managed Unit Trust and the £3.2 billion Strategic Managed fund with Threadneedle.

Richard Colwell will lead the UK equity strategy, joined by Stephen Thornber on global equities and Jim Cielinski on fixed income.

Invesco also lost a Global Equity Income mandate worth around £720 million to Manulife Asset Management's Paul Boyne and Doug McGraw. The pair had run the fund up to December 2012 before joining Manulife.  

Threadneedle head of wholesale distribution said: 'We look forward to working with St James’s Place and delivering for their clients. Threadneedle’s appointment as manager of the Strategic Managed fund reflects our strong track record across asset classes and the success of our investment approach that is active, client-focused and performance driven.

He added: 'We believe the combination of Richard Colwell’s unconstrained contrarian UK Equity strategy, our ‘quality income’ Global Equity capability run by Stephen Thornber, and Jim Cielinski’s extensive fixed income expertise provides an excellent solution for investors in the Strategic Managed fund.'

In other changes SJP will seed an Emerging Markets Equity fund with £5 million, to be managed by US-based Wasatch Advisors.

SJP chief investment officer Chris Ralph said in a statement: 'This round of appointments and fund changes is the most significant and high profile in our 23 year history. These changes are important in terms of the number of clients affected and the scale of the assets involved.'  

He added: 'St James’s Place’s ability to provide our clients with peace of mind through a seamless transition to new fund managers, such as Woodford Investment Management, a new fund management company, is a tangible demonstration of the benefits of our investment approach [and] long-standing relationship with high [a] quality manager.'

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.

Related Fund Managers

Jim Cielinski
Jim Cielinski
18/27 in Alternative UCITS - Bond Strategies (Performance over 3 years) Average Total Return: 6.64%
Neil Woodford
Neil Woodford
27/78 in Equity - UK Equity Income (Performance over 3 years) Average Total Return: 56.96%
Mark Barnett
Mark Barnett
9/78 in Equity - UK Equity Income (Performance over 3 years) Average Total Return: 73.24%
Richard Colwell
Richard Colwell
20/78 in Equity - UK Equity Income (Performance over 3 years) Average Total Return: 60.65%
Stephen Thornber
Stephen Thornber
24/37 in Equity - Global Equity Income (Performance over 3 years) Average Total Return: 35.46%
Paul Boyne
Paul Boyne
18/37 in Equity - Global Equity Income (Performance over 3 years) Average Total Return: 39.50%
Doug McGraw
Doug McGraw
19/37 in Equity - Global Equity Income (Performance over 3 years) Average Total Return: 39.50%
Citywire TV
Citywire TV
Brewin's Gutteridge & Foster talk property with Standard Life's Baggaley

Brewin's Gutteridge & Foster talk property with Standard Life's Baggaley

Gutteridge and Foster discuss UK commercial property with Jason Baggaley, manager of the Standard Life Property Income investment trust

Brewin's Gutteridge asks Odey's Tim Bond two tough questions

Brewin's Gutteridge asks Odey's Tim Bond two tough questions

Gutteridge puts the heat on Odey's asset allocation maestro with a couple of tough questions.

Brewin's Foster & Gutteridge: searching for the yield of dreams

Brewin's Foster & Gutteridge: searching for the yield of dreams

Guy Foster and Ben Gutteridge discuss the latest upbeat US payroll report and how it has increased the probability of a first hike in interest rates in June.

Your Business: Cover Star Club

Profile: Creechurch Capital’s CEO on going the extra mile in a crowded market

Profile: Creechurch Capital’s CEO on going the extra mile in a crowded market

Growing a business is the main aim of many company owners but managing that growth in a controlled way is just as important

Wealth Manager on Twitter