Old Mutual Global Investors names Buxton UK equities head and reveals flagship fund

Old Mutual Global Investors has announced Richard Buxton is joining as head of UK equities and will take charge of a renamed fund, the Old Mutual UK Alpha fund.

Wealth Manager can reveal that Buxton, who was head of UK equities at Schroders, will report to Julian Ide, chief executive officer (CEO) of Old Mutual Global Investors.

Ashton Bradbury, who has managed the UK equity teams for over three years, will report to Buxton.

Buxton (pictured) currently runs the £160 million Old Mutual Equity 3 fund, an identical Ucits unit trust fund to the Schroders UK Alpha Plus fund, which he manages on behalf of Schroders for Old Mutual Global Investors.

Old Mutual plans to rename this fund the ‘Old Mutual UK Alpha fund’ and it will become Buxton’s flagship vehicle when he takes up his new role.   

Buxton will also join Old Mutual Global Investors’ management team.

Citywire has removed the fund from Citywire Selection with head of research Jonathan Miller saying: 'The news of Richard Buxton and Errol Francis leaving Schroders has come as a surprise and Buxton’s Schroder UK Alpha Plus fund is in Citywire Selection.

As he is leaving in June, there will be some continuity for a few months and we await to hear who will be the replacement. But as Citywire Selection is a guide to the best ideas for investors, we feel it prudent to remove the fund. The next steps we look to make will be addressed at our formal half year review.'

Meanwhile, Errol Francis, who is also joining from Schroders, will together with Buxton take up his post in mid-June.

Alongside the other members of the UK equity teams he will report to Buxton.

Speaking about the hires, Ide, CEO of Old Mutual Global Investors, said: ‘We are excited to have two exceptional managers joining our team. Not only do Buxton and Francis have an outstanding track record, they are also an excellent cultural fit with our business and their appointment complements our existing UK equity teams.' 

Ide said the hires reflect Old Mutual Global Investors’ commitment to providing the very best investment talent and performance to its client base, and added the pair's arrival bolsters the firm's large cap offering.

He told Wealth Manager that the hires are 'complementary' to the existing team and he was looking forward to having both individuals at the firm.

Ide said: 'From my point of view, there's not any hire I would rather have made. I have known Richard for a long time, so know him as an investor and know his character.

'Ashton has supported me in these hires - he is one of the most highly respected portfolio managers in the City and I wanted him to be involved in this process.

Ide added: 'In terms of the funds, from the very beginning we wanted to have a track record so that for investors it was an easy decision.'

He also said that following Buxton's arrival it will be business as usual for Bradbury, who will focus on managing the UK Specialist Equity fund, stressing he continues to make a 'significant contribution, as he has done over many years, and we have exciting plans for this to continue in the future'.

Bradbury added: ‘This is a significant development for Old Mutual Global Investors, one which I fully support. I am very proud of the performance that the smaller companies’ team has delivered over the last 12 years and also that of the wider UK equity teams since my appointment as head of equities in 2008.  

‘I look forward to continuing to work with them, and Buxton and Francis, as we further develop this capability. I am also looking forward to focusing on managing and building assets in the UK Specialist equity alternatives strategy which I have been managing since 2003.’

How the team at Old Mutual stack up

Source: Old Mutual performance from Morningstar, Schroder performance from Citywire.