Katherine Garrett-Cox to step down at Alliance Trust

Dundee-based Alliance Trust Investments has announced this morning that chief executive Katherine Garrett-Cox is to stand down after almost eight years in the role.

Alliance Trust said that the decision was the result of a mutual agreement with the board and she will leave the business on 11 March, to be replaced by Alliance Trust Investments managing director Ramsay Urquhart.

Garrett-Cox joined Alliance Trust as chief investment officer in 2007, and became chief executive in 2008.

She was paid £1.4m for the year to the end of December 2015, and will be compensated for loss of office in line with her contract.

The news brings to an end a tumultuous 12 months for Garratt-Cox during which she was targeted by activist investors who had called for her dismissal amid long-standing under-whelming returns and controversy over her own remuneration.

Alliance Trust chairman Lord Smith of Kelvin said: “Alliance Trust is undergoing significant change to improve both its operating performance and investment returns. It has always had investment expertise at its heart and Katherine has done much over the past nine years to refocus the investment portfolio on its traditional strengths in global equities.

“Alliance Trust is now moving swiftly to implement the changes announced last year which are designed to enhance shareholder returns. This process is well underway and it is clear to us all that the role of chief executive of Alliance Trust Investments has changed significantly. I and the rest of the board wish Katherine every success in the future.”

Garrett-Cox said: “I am very proud of the significant achievements that my team has delivered over the past nine years at Alliance Trust. It has been an honour to have had the opportunity to represent and protect the long-term interests of so many shareholders and to have been a guardian of the trust’s historic purpose of investing for generations.

“I leave Alliance Trust Investments with a strong team who are already delivering improved investment returns and driving down costs.”

Alliance Trust had assets of £3.3bn as at 31 December.