Witan swaps NewSmith for Heronbridge on UK mandate

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The £1.4bn Witan investment trust has handed Heronbridge Investment Management a £75m UK equity portfolio previously run by NewSmith Asset Management.

UK-based boutique Heronbridge, which has assets under management of around £800m, will run the mandate in the same way as its Heronbridge UK Equity strategy.

Heronbridge uses a benchmark-unaware stockpicking approach, which concentrates on about 40 “soundly-financed, cash-generative businesses with good franchises”.

The mandate, representing around 5 per cent of Witan’s portfolio, was previously managed by NewSmith for three years.

Witan chief executive Andrew Bell says: “The appointment of Heronbridge is a continuation of our move to invest with specialist managers who are innovative and have differentiated and high-conviction approaches towards creating value through stock picking and portfolio construction.

“At the same time, we would like to thank NewSmith Asset Management for their stewardship of the company’s assets over the past three years.”