J O Hambro

Since 2011, it has been a wholly owned subsidiary of the Australian asset manager Pendal Group but has operated as a stand-alone boutique. In August 2022, it was announced that Perpetual, which also owns US shops Barrow Hanley, BHMS, and Trillium AM, would acquire Pendal for USD 1.72 billion. It is expected the combined assets under management will be around USD 130 billion. It is expected that JOHCM’s brand identity and boutique culture will remain in place and unchanged, including control over composition of teams, investment processes, and preserving existing incentive arrangements. JOHCM has little overlap with Perpetual strategies, so little disruption is expected. CEO Alexandra Altinger, who joined in 2019, has been focusing on expanding the firm's fund range and growing its environmental, social, and governance capability. The increasing focus on ESG is demonstrated by lifting a four-person global equity impact team from Hermes in 2020 and by hiring two managers from Fidelity in 2021 involved in a sustainable water and waste offering. There are further plans to launch thematic-related strategies for these teams. Such sustainable offerings will sit under the brand name Regnan(a specialist ESG firm acquired by Pendal in February 2019), but the managers are part of the JOHCM stable. Overall, we believe JOHCM is a good steward of investors' capital, resulting in the Parent rating of Above Average.