GAM whistle-blower triggered suspension of its ARBF head, the Swiss asset manager has confirmed. GAM said that it launched a probe into the conduct of suspended head of absolute return bond fund (ARBF) range Tim Haywood, after concerns flagged by an internal whistle-blower.
The firm assured that it will protect the identity of the whistle-blower, who triggered the probe and got the Financial Conduct Authority involved in the matter in March this year.
The probe, launched in November 2017, unveiled breaches in Haywood’s risk management and record keeping processes.
It also revealed that Haywood may have flouted the company’s signatory policy as well as gifts and entertainment policy, and may have used personal email for work. However, no evidence of material impact on clients was revealed.
However, the firm stressed that no other employees are being investigated in connection with the matter.
Till date, investors have been returned between 60% and 87% of the cash in the affected funds.
GAM group CEO Alexander Friedman, said: “At the heart of every modern financial services firm’s systems and controls should be a culture that encourages people to come forward with concerns about colleagues’ behaviour. The only way to maintain that culture is to protect those who are brave enough to do so and to hold accountable those found to be breaking the rules.”