Hargreaves Lansdown CEO and executives waive bonuses in wake of Woodford scandal
Four executives including the chief executive of Hargreaves Lansdown will surrender their bonuses this year following pressure over the company’s support for Neil Woodford’s flagship fund.
Hargreaves Lansdown continued to recommended Woodford’s equity income fund right up until it was suspended on 3 June after becoming overwhelmed by investor withdrawals.
The gating of the fund affected over 290,000 Hargreaves Lansdown investors – about a quarter of the company’s total.
The company’s chief executive, Chris Hill, and chief financial officer, Phil Johnson, will both decline to take bonuses this year, along with head of research, Mark Dampier, and chief information officer Lee Gardhouse.
Hill had previously said he would forego his bonus – which was £1.7m last year – until the Woodford saga was resolved.
A source at Hargreaves Lansdown said: “Chris believes this is the right thing to do. He recognises the impact that the gating has on our clients. This demonstrates his and Hargreaves Lansdown’s continued focus on putting clients first.”
Hargreaves Lansdown is due to announce its annual results tomorrow, which will begin to show the impact of the Woodford fallout on the company.
Main image: Hargreaves Lansdown