Watts and Williamson depart Jupiter to focus on Chrysalis
Chrysalis co-managers Richard Watts and Nick Williamson
According to a regulatory filing today (27 November), Watts and Williamson will be released from their Jupiter employment contracts from 31 March 2024, while the management contract between Chrysalis and Jupiter will terminate with effect from 1 April 2024, eschewing the six-month notice period.
A management fee reduction of 35 basis points will be applied from 1 October 2023 to 31 March 2024, falling from 50 bps to 15 bps given the «likely limited investment activity in the current market environment pending the continuation vote».
Chrysalis posts 'solid' trading update as holdings appear 'IPO ready'
The move comes following a shareholder consultation conducted by Rothschild & Co Equity Market Solutions, which covered roughly 60% on non-Jupiter related shares, ahead of the trust's AGM and continuation vote in Q1 2024.
A new contract will see a new company, formed by Watts and Williamson, take over investment advisory services from Jupiter, with existing Jupiter executives focused on Chrysalis set to join the firm following the end of their notice periods.
Under the new arrangement, the Watts and Williamson investment advisory firm will hold a 12-month minimum initial term, following which, a notice period of six months will be enacted.
G10 Capital, part of IQ-EQ group's UK regulatory and AIFM platform, will take on AIFM services for Chrysalis.
Under the new contract, the trust will pay an advisory fee to Watts and Williamson's firm of 50 bps of net asset value per annum, along with an additional AIFM fee of 5 bps up to the first £1bn of NAV per annum, reducing to 3 bps for NAV above this marker.
The AIFM fee is to pay for a «significantly enhanced risk process»,
Read more on investmentweek.co.uk
