The appointment of Jon Garland as head of client relations at Philip Rodrigs’ new firm has been described as the right hire to stave off a triple whammy of challenges facing the fund boutique as it seeks to get off the ground.
Raynar Portfolio Management revealed his appointment in a press release on Wednesday.
Garland previously helped get Ardevora off the ground with the firm building up approximately £5bn in assets under management during his six-year tenure.
See also: Philip Rodrigs faces uphill battle with boutique launch post-Woodford
Woodford collapse, coronavirus and the River & Mercantile dismissal
That experience will come in handy as Raynar faces three challenges to bringing in flows, according to Willis Owen head of personal investing Adrian Lowcock. Those are the collapse of Neil Woodford’s “empire”, the effect of Covid-19 on markets, and the circumstances surrounding Rodrigs’ exit from River & Mercantile.
Rodrigs left River & Mercantile in February 2018 following “an investigation into a professional conduct issue”. He is currently disputing his dismissal.
When Raynar Portfolio Management opened its doors in February with the launch of the Raynar Enhanced Portfolio, run by Matthew Taylor, concerns were raised about the cloud hanging over Rodrigs’ name as a result “whether it’s deserved or not”.
But Lowcock said the bigger challenges facing the firm were the reverberations from the fall of Woodford plus the coronavirus effect on markets.
“One of the biggest challenges is likely to come from the impact of the collapse of Woodford’s empire. This will mean that fund buyers will scrutinise boutique asset managers even more so, the due diligence will be more detailed and naturally take a bit longer. No doubt part of that process will be asked about the events leading to his departure from his previous employer.”
On the challenge of Covid-19, he said: “Businesses looking to succeed can work around these issues and with the right salesperson they will be able to get the message out. In this Jon Garland is a very experienced individual.”
See also: Are boutiques really better placed to navigate volatility?
Jon Garland a top hire for getting Raynar off the ground
Others too stated Garland was the right person to help get Raynar going in difficult circumstances.
Chelsea Financial Services managing director Darius McDermott described him as a great hire. “Jon joined Ardervora at launch and helped raise circa £5bn so he is exactly the sort of person who has the contacts and the experience for this type of role.”
But he added: “Philip Rodrig has an excellent track record and a strong following and Jon Garland is a really seasoned operator who has very strong relationships across the discretionary investment management and multi-manager communities.”
After Garland’s exit from Ardevora in 2017, he joined Quaero Capital where he was later joined by former colleague Gianluca Monaco.
