One of BlackRock’s longest-serving managers, who is responsible for running $40 billion of assets, is to retire later this year.
Dennis Stattman is to step down from running money in August, according to an internal memo sent to staff at BlackRock yesterday and seen by Citywire.
His four co-managers will continue on the fund after his departure.
After his retirement, Stattman will continue as an advisor to BlackRock’s multi-asset strategies group.
His departure from the fund follows that of fellow veteran Romualdo Roldan, who was taken off the strategy in January this year and replaced by Koesterich, Clayton and Hogshire.
Only Chamby remains as manager from the fund's line-up this time last year. He has been on the strategy since 2003.
The fund, BlackRock’s largest, has suffered outflows over the last few years despite posting above average performance within its peer group.
In June 2015 it had $53.9 billion of assets, a figure which has fallen to $39.9 billion today, according to data from Lipper.
Long-term performance is still ahead of the pack. Over 10 years it has returned 62.4% in comparison to the sector average, which was up 47.6% over the same period.
On a short-term basis it has not underperformed either, returning 9.3% over the last year, in line with the sector average for that period.
Stattman, who turns 66 this month, began managing the fund in 1989, when it was called the Merrill Lynch Global Allocation fund.
He was originally a portfolio manager at Merrill Lynch Investment Managers, which merged with BlackRock in 2006.
Prior to joining Merrill Lynch, he was director of research at Meridian Management Company.
The memo, written by BlackRock president and director Rob Kapito and global head of multi-asset strategies Rich Kushel, read: ‘Befitting its long-term orientation, the Global Allocation team has been anticipating this transition for many years, expanding its resources, evolving its processes and consistently emphasizing a team approach to portfolio management.’