Magellan’s star investor Hamish Douglass was enthusiastic about the growth potential of the Mexican food chain but while on sick leave,the investment has been sold.
Troubled fund manager Magellan is offering vouchers to investors,advisers and shareholders for feedback on how to improve online services.
Magellan’s shares have jumped over 12 per cent after it reported funds under management had increased,after months of sharp outflows.
Magellan has launched a financial package designed to retain staff,as the Sydney fund manager bleeds assets and clients.
Tribeca Investment Partners started short-selling Magellan shares in the middle of last year because it said the stock was over-priced and underperforming. However,the leadership crisis has sent the stock price tumbling even further.
Hamish Douglass’ aversion to the limelight is understandable given he has now experienced the negative aspects of fame.
Magellan on Monday released a three sentence statement saying Mr Douglass had resigned from the board due to his indefinite period of medical leave,
ECP Asset Management has sold its longstanding shares in Magellan after a new leadership team was abruptly brought in.
Magellan’s problems are in a league of their own. In the space of six months its funds under management have dived by 40 per cent.
Magellan’s shares soared by almost 20 per cent after reporting market-beating results and the new leadership team seeks to remind investors the embattled fund manager can survive without its celebrity stock picker,Hamish Douglass.
Magellan co-founder Chris Mackay has vowed not to change the fund manager’s approach to stock-picking after it suffered another $5.5 billion in outflows.