THAMES RIVER CAPITAL, the fund firm recently bought by rival F&C, has shared £25.9m between the partners of its main subsidiary, despite a fall in profits and big outflows from its hedge funds.
The payout to the 25 members of Thames River Capital, including chief executive Charlie Porter, chief operating officer Jeremy Charles and commercial director Loudon Greenlees, came despite a near-halving of profits for the year to March, accounts filed this week show.
The boutique firm shared out £41.1m between 19 members the previous year.
Like many managers of hedge funds, Thames River has seen clients exit as it deals with the aftermath of a difficult credit crisis for the $1.6 trillion (£1 trillion) industry.
the year to March its $600m Hillside Apex credit fund was closed, while its Warrior funds of hedge funds paid back around $300m to clients from side pockets – separate portfolios holding hard-to-sell assets bought before the credit crisis.
However, Thames River did see inflows into its credit, global bonds, multi-manager and real estate funds, investment boss Michael Warren said. F&C completed its purchase of Thames River this month, having been attracted by the group’s higher margin retail and hedge funds and the chance to rebuild asset levels as outflows from its own portfolios continue. The fall in Thames River’s operating profit over the year -- to £20.5m from £36.1m -- may have been due to the outflows from its hedge funds, which tend to earn higher margins than mutual funds.
City A.M. Reporter