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ANALYST VIEWS: WHAT DOES RAMBOURG’S SUSPENSION MEAN FOR GARTMORE?

Steve Dinneen
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JUSTIN URQUART STEWART | SEVEN
“It all seems like a bit of a storm in a teacup but the brand damage could be vast. It’s exactly what Gartmore didn’t need at the moment. It’s obviously been reflected in its share price – I’m afraid it appears that the damage has been done.”

KATRINA HART | CANACCORD
“This event highlights the dangers of fund management models that rely heavily on key individuals, but Gartmore is currently the most obvious offender in the listed space. The risk of redemptions from Gartmore’s funds is likely to extend beyond those managed by Rambourg.”

MANOJ LADWA | ETX CAPITAL
“Gartmore is attracting a few bottom-fishers as they bet on a rebound after yesterday’s fall. Although recent events at Gartmore throw the future of the fund manager into doubt, the stock is generating interest as it may open itself up to a takeover if problems persist.”