Rupert Caldecott and his colleague Neill Blanks have bought out the wealth management half of Dalton Strategic Partnership to form a new firm, RM Caldecott & Partners.
Caldecott (pictured) told Wealth Manager that the new firm ‘isn’t just a name change on paper, this is a genuine attempt to grow the private wealth business’.
The company will retain Dalton’s wealth clients and assets which Caldecott and Blanks have accrued in their 10 years at Dalton. Dalton will take a 19.9% stake in RM Caldecott.
The business will offer clients tailored individual portfolios with a global focus, costing 0.75% for those investing over £1 million and 1% for those investing under that figure. The firm also aims to cater for large clients and family offices.
Caldecott - who was a Wealth Manager Cover Star back in 2010 - and Blanks will be joined in the new venture by former Waverton Investment Management chief executive Hugh Grootenhuis, and Tom Chandos chair of the Thomson Foundation, who are both partners in the firm.
In addition to running private client portfolios, RM Caldecott will also offer access to the Melchior Global Conservative fund, which Caldecott and Blanks have managed for the
last five years.
This is the first time the fund has been marketed externally and over five years to the end of August it has returned 32.9%, beating the peer group average return of 27.5%. The fund has an annual management fee of 0.5%.
‘The fund has a very good track record – it’s the absolute return fund you never knew, as it were, but if you look at it, it’s remarkably consistent,’ Caldecott said.
The fund currently has £10 million in assets under management, but Caldecott believes it has a capacity of £100 million – £200 million.
Dalton chief executive Wenceslas von Liechtenstein said: ‘Dalton is delighted to be a sizeable investor in this new venture and actively supports the launch of RM Caldecott.
‘Dalton will continue to work closely with Rupert and his extended team in their new business, ensuring that clients continue to have access to our combined investment management expertise.’
RM Caldecott already has its Financial Conduct Authority authorisation and is regulated through Thornbridge Investment Management.
Richard Jones, head of distribution at Dalton, added: ‘The buy-out of the private client business from Dalton represents a change, not a break.’
He noted Nick Mottram, Dalton’s head of global equities, will sit on RM Caldecott’s investment committee.