Street Talk
VGI Partners appoints ex-BlackRock MD as chief executive
Sarah Thompson, Anthony Macdonald and Tim Boyd
Apr 7, 2021 – 8.12am
Under attack Australian hedge fund VGI Partners has appointed ex-BlackRock Asia-Pacific head of index equity Jonathan Howie as its chief executive officer.
VGI Partners' executive chairman Rob Luciano. James Brickwood
The announcement was made in a note to clients on Wednesday morning, and was expected to be announced to the ASX shortly.
The appointment comes a couple of days after this column revealed that activist investors David Kingston and Malcolm McComas had blasted VGI for its fee structure and poor interaction with retail investors.
VGI said that the appointment “follows a comprehensive selection process undertaken with the assistance of a search firm”.
Howie worked at BlackRock for almost nine years, including as a managing director and head of index equity for the Asia-Pacific region, as well as the head of iShares.
In Wednesday morning’s client note, VGI executive chairman Rob Luciano said the new hire was part of “of our focus to further build out VGI’s investor relations, operational and risk management capabilities”.
VGI told investors in February it was working to enhance adviser relations and shareholder communication.
The firm listed in September 2017 and its portfolio returned 8.4 per cent in the year to December 2020 post tax, on an NTA basis, and 9.2 per cent net of fees since inception. It targets 10 per cent to 15 per cent annual return over the longer term.
“This will allow VGI to further enhance our existing capabilities and continue to grow the business while ensuring the senior investment team and I remain focused on managing the Global and Asian portfolios,” Luciano said.
Howie will start in the role from Monday next week
(20min delay)