Jupiter’s chief financial officer Charlotte Jones has become the second member of the fund group’s C-suite to exit this year, following chief executive Maarten Slendebroek, though commentators do not think there is a link between the two departures.
The FTSE 250 manager said in an RNS announcement that Jones had resigned as the group’s chief financial officer and a director of the company in order to become the CFO of RSA Insurance. Jones has been a non-executive board director at RSA for a little under a year. She has been with Jupiter since 2016.
Jupiter said she will remain in her role until August 2019 during which time she will oversee the delivery of the company’s full year results due in early March and ensure the effective transition of her responsibilities when a replacement is found.
Jupiter said on Tuesday it has already begun searching for her successor and will update the market when appropriate.
Awkward timing
Jones’ resignation comes at an awkward time for Jupiter, a month after the asset manager confirmed its CEO of five years Maarten Slendebroek would be exiting the business in May. Ex-Janus Henderson joint chief executive Andrew Formica has been chosen as Slendebroek’s successor, sparking potential takeover rumours.
But commentators reckon the timing of Jones’s departure is coincidental and not linked to the recent change in chief executive.
“Whilst it would be tempting to connect this news to the recently announced change in CEO, we understand that the timing is a coincidence and in Charlotte’s case is to pursue a career opportunity that became available at a larger FTSE 100 company where she already had a role,” said Numis Securities equity analyst David McCann.
McCann was also doubtful of a link between Jones’s departure and Jupiter’s financial performance in its upcoming annual results. “We do not believe there is anything to be ‘signalled’ by the timing so close to the results or that can be ‘read into’ what may be announced on the 1st.”
However, he added it is unclear at this stage what impact, if any, the changes to its C-suite will have on Jupiter’s medium to long-term prospects.
Better now than after Formica takes the helm
Adrian Lowcock, head of personal investing at Willis Owen, agreed with McCann’s assessment, adding it would have taken Jones some time to agree terms with her new employer.
But, he added: “It does imply that Jones was not completely happy in Jupiter and therefore had decided to leave some time ago but likely wanted to wait for the right opportunity.”
Still, Lowcock said it is better that departures happen now before Formica takes over as chief executive.
“Whilst further departures could look bad for Jupiter now, it is better this happens now and not on Formica’s watch as they can’t be blamed on his management of the business. The departure gives him a problem to solve but also a fresh start to bring in the people he wants to use.”
Markets were relatively unfazed by the news. Jupiter’s shares opened slightly lower but by mid-morning on Tuesday, they were up 0.3% higher at 335p.
