The British Asset Manager Schroders Has Decided to End Its Presence in the Brazilian Market Following a Global Review of Its Operations
With over one trillion dollars under management worldwide, the company chose to transfer its local funds—totaling approximately 1.7 billion dollars in resources from Brazilian investors—to two partner firms: Riza Asset Management and Gama Investimentos.
According to executives involved in the operation, the decision is not related to the Brazilian economic environment, but rather to a reorganization process led by Schroders’ new global management. The goal is to focus efforts on markets considered more strategic and with greater growth potential. The information was published by local media outlet Valor.
The asset manager states that the exit is part of a three-year transformation program implemented by its Chief Executive Officer, Richard Oldfield, aimed at repositioning the brand and pursuing sustainable growth in priority markets.
What Will Happen to the Funds?
Riza Asset Management will be responsible for the credit, equity, and fixed income strategies previously managed by the British firm in Brazil, while Gama Investimentos will take over the vehicles that replicate the company’s offshore funds. Both institutions already have relationships with local investors and will ensure the continuity of asset management.
Data from Anbima indicate that Schroders managed 26.2 billion reais (4.805 billion dollars) in Brazil as of July, and that the majority of this volume—approximately 19 billion reais (3.48 billion dollars)—came from international clients invested in Brazilian equities. This portion will remain under the responsibility of Schroders abroad.
Riza, which manages approximately 18 billion reais (3.3 billion dollars), and Gama, with over 5 billion reais (917 million dollars) in funds from foreign asset managers, will absorb the remaining portfolios.
