GAM expects to be successful in the past

GAM announced it is one step closer to drawing a line under the problems that have engulfed the Swiss fund manager since last year, saying the liquidation of the funds at the heart of its crisis will be complete by July

Tim Haywood, London-based investment director who oversaw the group's absolute return bond funds (ARBF) and later announced plans to liquidate the fund range entirely.

It had already been missed a self-imposed March deadline to complete this process.

Assets of SFr1.35bn were in liquidation at the end of March.

GAM said that it was a two-way badet and that it would be a further distribution of the badets in the future, leaving "a remaining group of material badets within the ARBF funds and mandates", companies owned by the Sanjeev Gupta entrepreneur family.

GFG has agreed to hold ARBF strategy managed by GAM, "before mid-July, the investment group said. "The sale of the notes will complete the badet divestitures in connection with the ARBF account liquidations announced in August 2018."

"Said David Jacob, interim chief executive," said David Jacob, acting chief executive.

However he added that flows "continued to be affected by ARBF-related matters."

The news came as GAM reported badets in its SFr55.1bn in its investment management business, excluding the remaining ARBF badets, down 2 percent from the end of last year. Net outflows of SFr4bn were only partially offset by positive investment performance and foreign exchange movements of SFr3bn.

Total group badets under management, excluding remaining ARBF badets, were SFr137.4bn at the end of March, up from SFr132.2bn at the end of 2018.