Gartmore Grp Share Discussion Threads

[liquidkid] 23/4/2010 12:23

might be long but
"Guy increases Gartmore's short on Europe-The Gartmore European Absolute Return fund has increased its bet on a fall in European equity markets."

[algernon2] 21/4/2010 17:21

Good Man so did I.

[liyangnano] 21/4/2010 10:38

yes, already!

[algernon2] 21/4/2010 10:36

Put money on that will you?

[liyangnano] 21/4/2010 09:33

it will go back 200p in the next month,

[liquidkid] 12/4/2010 09:38

Wouldn't think that an internal action even with the "Star" player would affect the AUM with redemptions as its in a generally rising market. If the sh*t hits the fan that's a different story

That value of 2% of AUM which is at the bottom of the pit. Even EMG.L which is run by robots has a value of 10% to AUM (does some other stuff on the side) who does it compare to?

[solomon9] 09/4/2010 14:29

Only around 2.3% of AUM - reckon AUM stable

[ucnut] 01/4/2010 10:47

Just reduced by 50% as this has had a good run and bought into HVE after a smashing TS.

[engineer66] 01/4/2010 10:20

In a way Gartmore acted properly seems to me they did the right thing. Still they need to clean up their act before confidence is restored and all a bit worrying after an IPO. Hope the management can show their mettle! Useful post tsmith2.

[devymaster] 01/4/2010 09:11

hvs

Think you need a new keyboard. The one you're using seems to keep sticking on cap lock. Also Alzheimers must be kicking in as you keep typing the same message!!!

Up another 15% so far today. The incident may actually focus management minds on fixing the holes and increasing the share price to at least the IPO price as a first target. Many of the management team, including the suspended fund manager, have lost a substantial amount themselves with the price drop.

Onwards and upwards.

Devymaster

[tsmith2] 31/3/2010 18:08

Fall - huge overeaction..



The chief executive of Gartmore Jeff Meyer has spelled out to Citywire his reasons for suspending star fund manager Guillaume Rambourg yesterday.

Rambourg has been suspended after an internal investigation found that he was requesting the company's dealers place trades with particular brokers, which is in breach of the company's own internal guidelines which are intended to ensure that it remains well within the FSA's rules on 'best execution.'

Meyer has said that with the investigation ongoing it is impossible to be certain that Rambourg was not receiving any inducements from brokers but that he has seen no evidence of it and would be shocked if he discovered that is the case.

The most benign explanation would be that Rambourg was simply trying to reward brokers for helpful research ideas presented to him. Yet the company discovered the breaches of internal rules just weeks after the Italian regulator fined Rambourg €300,000 for frontrunning a broker note. Gartmore continues to protest his innocence on this though and has filed an appeal in the Italian courts.

Meyer said that it also appeared that Rambourg had been asking brokers to sell to specific dealers if the same price could be achieved.

Meyer has said that he has not seen evidence that the dealers' own judgements were overridden when making the trades. He also said that he has not seen evidence that he was ever not securing best execution, though he stressed that the investigations had not yet been concluded.

Meyer acknowledged that it is hard to understand why Rambourg would put his highly successful career in jeopardy simply to do a favour for helpful brokers and confirmed that as recently as last summer he had signed documents confirming he understood the company's rules on trading.

He said: 'It is hard to say what the motivation might be. I have not asked him because you cannot ask much once the investigation has started.'

Meyer would not comment further on Rambourg's motivation though company sources have suggested to Citywire that the current consensus view internally is that the trades represented a simple lack of judgement rather than any attempt to profit.

Rambourg's co-manager – and Gartmore's largest shareholder – Roger Guy has been spending the day calling investors in the funds. He has not been implicated in the trades though Meyer admitted that the investigation has not yet progressed far enough to definitively confirm that Guy did not know about the practice. Meyer said: 'Roger has just flown back from his vacation, he is on investor calls and running the money so I have not had extensive discussions with him.'

Meyer said that that it is still possible that Rambourg will return to work. 'I think it all depends on the outcome of the investigation but yes there is a scenario when he could come back. We are conducting the investigation with the help of an external law firm. It's been conducted by me, our general counsel and our compliance director. I hope to have clarity as soon as we can...within the next few weeks I hope.'

Meyer said there had been no substantial redemption requests on the funds run by Guy and Rambourg and said he sees no reason to introduce exit penalties or gates.

No dealers have been suspended as a result of the investigation.

Meyer admitted to being concerned about the sharp fall in the company's share price triggered by the suspension. It fell by more than 31% on the news yesterday, though it has since rallied by 10% today. Nonetheless as markets closed it was trading at 127.9p, nearly £1 less than the 220p price the shares listed at in December.

Meyer said: 'Obviously I am concerned about it. It causes sleepless nights for me as it would. It has not been something I would ever have imagined in my worst nightmares. There are no issues relating to our debts.'

Meyer also sought to put to bed rumours that Rambourg or Guy may have been linked to the bankers who are under investigation by the FSA over insider dealing. He said that the provisional list of brokers involved in Rambourg's case does not include any of the people involved in that insider dealing case. The FSA has also signed off a company statement confirming there is no link to the case.

[bluesbeater] 31/3/2010 12:17

should continue to make good recovery, typical city overreaction

[eurochamps5times] 31/3/2010 09:13

hvs, take a deep breath. You have made your feelings clear!

[tsmith2] 31/3/2010 09:08

£1.30+ finish..

[eurochamps5times] 31/3/2010 09:00

excellent bounce! Made a fair bit there and now can use the profits to run a smaller position for a couple of days. Wild punting in FTSE250 stocks, you cant beat it!

Does anyone have any credible information and I dont mean the likes of hvs spamming the boards.

[hvs] 31/3/2010 08:55

Close below £

[quidzinn] 31/3/2010 08:54

boinggg !

Q

[hvs] 31/3/2010 08:50

ITS DOOMED.