Investment teams at Mellon Investments Corporation are to be split up between associated firms in a re-organisation by parent, BNY Mellon Investment Management.
BNY Mellon IM said this would realign Mellon Investments’ capabilities with other group firms, such as Newton Investment Management.
Mellon Investments will retain people and continue as a specialist institutional provider – but Des Mac Intyre, Mellon’s current CEO, has decided to leave the firm at the end of February 2021.
The measure involves Mellon Investments fixed income team being integrated with Insight Investments, the equities and multi-asset teams with Newton, and liquidity management with Dreyfus Cash Investment Strategies.
BNY Mellon IM said the transition – to be finished by the end of the third quarter this year – would enhance each firm’s specialities and strengthen research and global reach.
There will be no change to the firms’ investment processes or philosophies “during the transition period as a result of the changes”, said the firm.
Hanneke Smits, CEO of BNY Mellon IM, said: “In the face of a rapidly changing investment environment, well-resourced specialist expertise with global research capabilities are needed to deliver the outcome-focused solutions clients expect.
“The realignment of Mellon’s investment capabilities with Insight, Newton and Dreyfus CIS is part of our commitment to providing our clients with a range of investment strategies that meet their current and evolving objectives.”
Andrew Downs, chief operating officer and interim CEO of Newton, said: “We are creating a global investment firm with a deep and differentiated research platform that is able to drive a range of solutions for the modern investor.”
Mellon Investments will continue to deliver institutional equity and fixed income index management as a specialist investment firm with $390 billion in assets under management.
Its chief operating officer, Michael Germano, will take on CEO responsibilities during the transition period.
Other investment firms in the group – Alcentra, Walter Scott, ARX and Siguler Guff – are not impacted by the measure.
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