(Adds sources, background)
By Carolyn Cohn
LONDON, June 14 (Reuters) - David Cumming, chief investment
officer for equities at Aviva Investors, is to leave the firm,
and other roles in the equity fund management team are also at
risk, the fund management unit of the British insurer said on
Monday.
The shake-up follows the appointment in January of Mark
Versey as Aviva Investors' chief executive officer.
"We have taken the decision to focus our equities business
on sustainable outcomes and core strategies where there is clear
client demand, namely UK and global equities, while retaining
sufficient coverage to support our multi-asset strategies,"
Aviva Investors said in an emailed statement.
It added that Versey had been "clear on the need to focus on
areas where we have a competitive edge and are winning
business".
Aviva Investors said "a number of roles" were at risk in the
equities team, and a consultation had begun with those affected.
Ten fund managers in total could lose their jobs, including
head of global equities Mikhail Zverev, said a source familiar
with the matter, confirming a report in the Mail on Sunday.
"It's quite a mixture going across the whole of equities,"
said another source.
Cumming, one of Britain's best-known stock-pickers, joined
Aviva Investors from Standard Life Investments in 2017. Zverev
also previously worked at Standard Life, as did former Aviva
Investors CEO Euan Munro.
The announcement comes as activist investor Cevian said last
week it had taken a 5% stake in Aviva and called on it to return
5 billion pounds ($7 billion) to shareholders and cut costs.
Chief Executive Amanda Blanc, who took the top job at Aviva
a year ago, has raised 7.5 billion pounds through selling off
businesses in Europe and Asia.
But industry sources say there is scope for more change at
the sprawling insurer, which offers both life and general
insurance across several countries, alongside its investment
management unit.
Adjusted operating profit for Aviva Investors fell 11% in
2020 to 85 million pounds, hit by lower demand for alternative
assets.
Aviva Investors last month closed three UK property funds
which had been suspended since March 2020 due to market
uncertainty as a result of COVID-19.
($1 = 0.7085 pounds)
(Reporting by Carolyn Cohn
Editing by Rachel Armstrong and David Evans)
Aviva (AV.)
