Fidelity International set to benefit from reshuffle

The secretive fund management group, Fidelity International, has reshuffled its chief management during the summer in an attempt to strengthen faltering investment performance, sharpen its management structure and improve the businesses that it has recognised as growth areas for the future.

The majority of its senior executives have been moved into new roles that are seen as exceptional for a business that has previously been perceived as a fine example of stability.

Hargreaves Lansdown, the independent financial adviser (IFA), was stunned by the severity of the reshuffle but noted that the business was in need of a fresh approach to revitalise itself. Other IFAs made no comment other than they were still coming to terms with the reshuffle.

Following the reshuffle, Michael Gordon has gone from being global chief investment officer to global head of fixed income and accomplishes its goal to grow fixed income and other alternative assets from 10% to 40% of assets under management.

Nicky Richards, freshly hired from Schroders to be chief investment officer of European equities, is now in charge of developing Fidelity’s derivatives business.

Simon Fraser, currently head of Fidelity’s $91 billion institutional fund business, will now lead the multi-manager business, which has about $1 billion under management.

UK managing director, Richard Wastcoat, is to step down and take a career break after a decade at the helm of Fidelity’s UK retail business.

Robin Higginbotham, who was appointed in early 2007 from Schroders as president of Fidelity’s European retail business, is taking over immediate responsibility for Fidelity’s remaining UK retail business until a replacement for Mr Wastcoat is found.

Furthermore, Fidelity is seeking a new fixed-income chief investment officer, a new head of its institutional business and a new head of UK retail.

Fidelity International is one of the UK’s leading retail fund management groups and was split out from Fidelity Investments in the US in 1979 to manage the US company’s international business.

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