Chan and McClure depart RLAM in move to passive equity approach

Edward Chan and Jonathan McClure are to leave Royal London Asset Management after the fund house changed the way it will run some of its equity assets.

RLAM plans to run Japanese and Far Eastern assets on a passive rather than active basis. It has consulted clients and the regulatory authorities on the suggested changes, which are subject to FSA approval and a shareholder vote.

The firm is also “in discussions” with head of equities Jane Coffey about how she will be affected by the changes.

Chan’s £487.4m Royal London Far East fund and McClure’s £299.8m Royal London Japan Growth fund, as well as £360m in separately managed assets in these regions, are affected by the plans. RLAM’s passive equity team will assume management of these funds.

A statement by the asset manager says: “We remain fully committed to the active management of equities in those areas where we believe that we can best add value for our clients and have a competitive advantage.

“RLAM can confirm that as a result of these changes, we are currently in discussions with Jane Coffey regarding how this will impact on her.”

Chan has been with RLAM since 1996, after spending three years managing Far Eastern funds at Foreign & Colonial Emerging Markets. His Royal London Far East fund is ranked second quartile in the IMA Asia Pacific Excluding Japan sector over five years but third quartile over one and three years.

McClure also joined the firm in 2001 after United Assurance, which he joined in 1996, was bought by the asset manager. The Royal London Japan Growth fund is first quartile in the IMA Japan sector over five years, second quartile over two and third quartile over one.