Monday, 29 August 2016
Last updated 2 days ago
Apr 11 2011 | 12:48pm ET
When former Gartmore Group star trader Guillaume Rambourg was cleared last month by British regulators over allegedly directing trades, his reuniting with former boss and top Gartmore manager Roger Guy became all but inevitable. And, indeed, the two men whose exits doomed Gartmore are joining forces once again to launch a hedge fund.
The two hope to launch the new fund later this year. Guy and Rambourg managed more than US$10 billion, more than one-third of Gartmore's total assets at the time. Many of those investors bolted when Guy announced his retirement in November, six months after Rambourg was suspended by the firm and four months after he quit to fight the Financial Services Authority investigation.
And many of those investors are poised to hand their money back to the team and their new hedge fund, published reports indicate.
"They both have excellent track records and it will be worth seeing how they go," one former investor told the Financial Times. "It would be interesting to see what they did if they came back."
Guy and Rambourg haven't yet chosen a home for their new firm; the finalists are London, where both were based at Gartmore, Paris and Geneva, Switzerland. The former's prospects are no doubt linked to Rambourg's winning approved person status from the FSA.
Gartmore, inundated with redemptions and further exits following Rambourg's suspension, eventually sold itself to Henderson Global Investors earlier this year.