KW Wealth CEO Marianne Ismail (pictured) has abruptly left the business after just 18 months in the role as the group changes tack with another strategy overhaul.
In an RNS statement on Thursday, the wealth manager announced that Ismail would be leaving the group with immediate effect “to pursue other interests”. She will be replaced by current executive deputy chairman Gary Wilder, KW Wealth said.
Her departure from the group was sudden. Portfolio Adviser was gearing up to interview Ismail for a magazine profile just this week.
She was the sole woman on the board of Kingswood Holdings, the integrated wealth management group which includes KW Wealth.
Portfolio Adviser understands that five out of 15 senior management positions at KW Wealth are occupied by women, including head of compliance and head of HR. Women make up 46% of the company, a spokesperson confirmed.
Another round of restructuring
News of Ismail’s hasty exit were unveiled alongside yet more restructuring plans for the wealth manager, including the roll-out of a managed portfolio service.
This is the second time in under a year the group has announced a major change to its business strategy.
Ismail led a restructuring of the wealth manager, which included the group re-branding from European Wealth, after taking over for ex-chief executive John Morton in September 2017. Despite cutting out £1.4m of operating costs, the group reported widening losses in its annual results for 2017.
The firm said in Thursday’s update the board now has a “clear strategy to enhance shareholder value” and had recently approved an “ambitious” three-year growth strategy.
Developing an MPS and personalised portfolio service as well as implementing a “new, simplified tariff structure” were identified as “key initiatives” moving forward.
It added that KW Wealth would continue to pursue growth opportunities with targeted acquisitions in the UK and in the US to achieve its ultimate goal of becoming a global business.
“The board believes a combination of capital investment and resource allocation across its integrated wealth planning and investment management platforms, together with rigorous, credible target setting and performance evaluation, will drive future success,” the wealth manager said. “These integrated platforms give Kingswood a competitive advantage, and its strategy is firmly focused on seeking opportunities to drive growth in revenue and assets under management from these platforms. Kingswood aims to provide existing and future clients with a high quality and personalised experience with a complete service and product range to protect and grow their wealth.”
All-male senior leadership
An all-male senior leadership team made up of Wilder and two new incomers to the business, Patrick Goulding and Graydon Butler, will be responsible for delivering the firm’s growth plans. Goulding was appointed group finance director just last week, while Butler, who is set to become group chief operating officer, will join the board in the coming weeks.
KW Wealth has also switched up its remuneration policy for senior staffers. A significant portion of their compensation will be aligned with individual performance targets alongside the enhancement of the group’s profit and share price, it said.
Commenting on the senior management changes Kingswood chairman Buzz West said:
“The board is very grateful to Marianne for her contribution to the business over the last 18 months. We wish her well in her future endeavours.
“We are delighted that Gary, Patrick and Graydon have agreed to form the senior leadership team that will successfully execute our growth strategy. Their combined experience will be invaluable as we aim to grow both organically and dynamically by acquisition in the UK and US and deliver long-term shareholder value.”
A trading update from KW Wealth is expected some time next month.
