BlackRock has confirmed the managers set to depart after the firm revealed it would favour a quantitative approach over human stock pickers.
Around $30 billion of assets under management will be affected and BlackRock will pay out $25 million in severance and bonus packages as a result of the changes.
The managers leaving BlackRock are:
- Luiz Soares, who is head of global emerging markets and who runs the $444.7 million BGF Emerging Markets Equity Income and the $501. 8 million BGF Emerging Markets funds with Dhiren Shah.
- Ian Jamieson, who manages several funds with Tom Callan including the $409.3 million BGF US Small & MidCap Opportunities fund and the $269.6 million BGF Global Opportunities fund.
- Murali Balaraman, the manager of the $369.6 million BGF Global SmallCap fund.
Two managers will step back from their funds as a result of the changes, but will continue to work for BlackRock in different roles.
Tom Callan, who managed several funds at the company including the $269.6 million BGF Global Opportunities fund, will retire from fund management but retain a role with the firm.
Shift to Asia
The asset manager has also decided to move leadership for its GEM strategies to Asia, reflecting of importance of the Asia Pacific region to its emerging markets funds.
A spokesperson at the firm said the role of Andrew Swan, who is head of Asian equities, has now been expanded.
‘Andrew Swan, head of Asian equities, becomes head of Asian and global emerging markets equities, responsible for the wider core global emerging markets platform.
'Emerging market teams will be led by Belinda Boa, as CIO of Emerging Markets, Fundamental Active Equity, to bring about greater alignment and an exchange of insight throughout emerging markets professionals covering Latin America, Emerging Europe and Asia Equities.
'She remains as Head of Active Investments for Asia Pacific, covering active equities, fixed income and multi-asset.'
Both Swan and Boa will be based in Hong Kong, according to the spokesperson.
Furthermore, Gordon Fraser, a portfolio manager in the global emerging market equity team, will be relocating to Hong Kong from London to assume portfolio management responsibilities alongside Swan for the global emerging markets core portfolio.