The team, headed by Peter Michaelis, will move to Alliance Trust Investments’ London office by 31 August, while some £1.2bn in SRI assets will have completely transferred by early 2013, subject to regulatory approval.
Alliance Trust Investments will pay an initial consideration of £1m and further amounts will be paid to Aviva Investors under a revenue-sharing agreement between the two firms.
Alongside Michaelis, four other members of Aviva Investors’ SRI team will move over and the seven Oeic funds will continue to be managed with the same investment objectives and process.
Meanwhile, Aviva Investors plans to consider the long-term future of the one Luxembourg-domiciled fund and will contact investors once any plans are in place and agreed with regulators.
In January Aviva Investors announced a strategic review of its business, during which it expected to cut around 160 jobs and "leverage its strengths in key asset classes" as well as prioritise its distribution effort towards the institutional market.
It was subsequently leaked that the firm was looking for a "new institutional home for the funds, the clients and the majority of the SRI team".
Today, Paul Abberley, interim chief executive at Aviva, appointed following the departure of Alain Dromer in April, said: "This is a good outcome for our clients and also our business. The transfer of our SRI team to Alliance Trust Investments will facilitate a seamless transition of responsibilities and ensure consistency is maintained in the investment process."
On Alliance Trust’s part, Ed Troughton, managing director, said: "Securing this highly respected SRI team led by Peter Michaelis underlines our future growth strategy of focusing on global equities and fixed income with an emphasis on specialist investment opportunities."
The eight funds affected are:
- Aviva Investors Sustainable Future Absolute Growth
- Aviva Investors Sustainable Future Corporate Bond
- Aviva Investors Sustainable Future European Growth
- Aviva Investors Sustainable Future Global Growth
- Aviva Investors Sustainable Future Managed
- Aviva Investors Sustainable Future UK Growth
- Aviva Investors UK Ethical
- Aviva Investors Sustainable Future Pan European Equity
