Around 10% of Axa Investment Managers’ UK workforce could be under threat after the firm outlined its plans for a restructure.
The new operating model, which would see the firm make €100 million (£87.6 million) in savings, could impact 210 jobs worldwide, the firm said, with 40 in the UK and 160 under threat in France.
An Axa IM spokesperson said there will be 'minimal impact' on asset management and portfolio manager roles.
Axa IM said it is ‘committed to supporting its employees through the change period’ and to ‘limiting social consequences’ as much as possible.
As part of the restructure, which could be completed by the end of the year, Axa IM has announced a new management board, with former global head of fixed income and structured finance, John Porter, as well as former global head of Framlington equities Mark Beveridge, stepping down from the board.
Porter is leaving the firm, with Citywire +rated Beveridge staying and continuing to manage the Axa WF Framlington Talents Global fund.
Its new management board is comprised as follows:
- Francisco Arcilla as global head of sales
- Bettina Ducat as global head of product, retail and institutional development
- Matthew Lovatt as global head of AXA IM Framlington Equities
- Jean-Christophe Ménioux as general secretary and CFO
- Joseph Pinto as global chief operating officer
- Heidi Ridley as CEO of AXA IM Rosenberg Equities
- Isabelle Scemama as CEO of AXA IM Real Assets
- Hans Stoter who joins AXA IM as global head of fixed income. Following Laurence Boone’s recent decision to join the OECD, Hans Stoter will also take the interim responsibility for Multi Assets Client Solutions
- Amélie Watelet as chief transformation officer and global head of HR and communications
It also announced a new operating model based on four ‘pillars’, which are:
- Client relationships centred on two distinct segments – institutional and wholesale/retail
- Core investments bringing together the fixed income, Framlington Equities and Multi Assets Client Solutions platforms
- Alternative and specialty investments comprised of real assets, structured finance and Chorus as well as Rosenberg Equities and High Yield
- Transversal support functions including global transformation, HR and Communications, global operations, as well as general secretary functions with the aim to support and enable AXA IM’s transformation
The firm is also planning to use the €100 million of savings to invest in four offerings and client priorities by 2020.
These are: alternatives, multi-asset and fixed income speciality investment strategies, ESG integration across investment teams, digital and advanced data analytics capabilities, and quant and data science skills to fill product gaps.
Andrea Rossi (pictured), CEO of Axa IM, said: ‘I believe the steps we are looking to take not only respond to our industry challenges in terms of customer centricity but also provide AXA IM with an inspiring vision and roadmap for the future.
‘Accelerating our strategy as an active manager thanks to new ways of operating and a simpler organisation, notably in the alternative investment space, while becoming even stronger in core investments will foster sustainable growth for the ultimate benefit of all our stakeholders.’
He added: ‘AXA IM will remain focused on servicing its clients with the same level of dedication and attention during this change process which is key to ensure the company continues to grow, brings value to its current and future clients and remains a key player in the asset management industry in the long term.’