Sanlam International Investments Buys Controlling Stake In UK Boutique

Stephen Little

1 October 2014

, the firms said in a jointly issued statement.

Sanlam originally acquired an initial stake in Four of 29.9 per cent in 2009 and will now hold an 89.7 per cent equity interest in the firm. The investment teams within the existing FOUR business will retain 30 per cent equity stakes in their specific business areas. The transaction is subject to FCA approval.

The transaction will have no impact on the existing investment teams or investment processes and each team will be responsible for its own investment process and the achievement of its own investment objectives, the firms said.

Derrick Dunne, director and founder of FOUR, said the merger will create a more “diversified” business with a “significant increase in AuM”.

“Underpinning the business are small specialist investment teams operating within an investment led, entrepreneurial culture. This will never change and performance will always remain each team’s focus. The ownership structure directly aligns our fund managers’ interests with those of our clients. We are very optimistic for the future. We have the perfect marriage of the strength and resource of the Sanlam Group and the focus and expertise of an investment boutique,” said Dunne.

Robert Roux, COO of Sanlam Investments, said staff will remain significant owners, and investment teams and processes will remain independent.

“Our relationship with FOUR is very successful with the firm having delivered strong investment performance across all investment products. This is an important step to cementing that relationship and indicates Sanlam’s trust and confidence in FOUR’s capabilities,” he said.

Sanlam International Investments advises on the global assets managed in the Sanlam group which include the client assets of Sanlam Life Insurance (SA), Sanlam Life and Pensions (UK) and third party clients. Current assets under advice are approximately $7 billion.

FOUR Capital Partners Limited was set up in 2006 as a UK equity specialist by its founding partners, Tom Carroll, Derrick Dunne, Chris Rodgers and Ted Williams.