Jeff Meyer, chief executive of Gartmore, has admitted that the incident has cost the investment house nearly 5pc of its assets, despite Mr Rambourg being reinstated as an analyst.
Mr Meyer told reporters: “We lost a significant amount of sales momentum.” Adding that investors had also cancelled several large mandates, Mr Meyer suggested that clients had been too swift to act.
Gartmore said that while it had a net inflow of funds of £126m in the first three months of the year, it saw an outflow of £834m in April alone in reaction to the suspension.
The shares dropped nearly over 4pc yesterday to close at 145p as analysts retained a gloomy outlook on the stock.
Mr Rambourg, along with his colleague Roger Guy, is credited with having generated 40pc of Gartmore’s revenues in recent years. He was suspended pending an internal investigation into “directing trades”. He is expected to be reinstated as a fund managers in six months.
Gartmore’s shares fell 30pc after the suspension because traders linked it to an unrelated investigation into insider trading by the regulator.
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