Goldman Sachs Asset Management (GSAM) is to combine its fundamental equity US value team and fundamental equity US growth unit into a single team called the fundamental US equity team, according to Securities and Exchange Commission (SEC) filings.
The move will result in a number of management changes on funds. It is unclear if some managers taken off portfolios have departed the firm.
It will also mean the promotion of Sean Gallagher, currently chief investment officer of the US value equity team, to the position of co-CIO of the fundamental equity US equity team.
Gallagher will manage the combined team along with Steven M. Barry, CIO of global fundamental equity.
Two managers, Timothy M. Leahy and John Arege, would appear to no longer be named on any Goldman funds.
See below a complete list of the funds affected and the manager changes.
Manager moves on GSAM fundamental equity funds
Source: SEC filings, Morningstar Direct, Citywire Discovery
|Name of fund||Size ($)||Any Exits?||Any Additions?||2017 flow to Nov. 30 ($)||Citywire category rank (3yr TR)|
|Goldman Sachs Capital Growth||$985.1 million||Timothy M. Leahy||Sean J. Gallagher joins Steven M. Barry and Stephen E. Becker||$100.2 million outflow||86/152|
|Goldman Sachs Concentrated Growth||$159 million||Timothy M. Leahy||Steven M. Barry and Stephen E. Becker continue to manage the fund||$21 million outflow||127/152|
|Goldman Sachs Flexible Cap||$20.6 million||Steven M. Barry and Silverio Foresi continue to manage the fund||$1.1 million outflow||60/135|
|Goldman Sachs Growth Opportunities||$2.5 billion||Steven M. Barry and Ashley R. Woodruff continue to manage the fund||$904.3 million outflow||115/135|
|Goldman Sachs Small/Mid Cap Growth||$2.4 billion||Steven M. Barry, Daniel Zimmerman and Michael DeSantis continue to manage the fund||$412.8 million outflow||55/95|
|Goldman Sachs Strategic Growth||$276.3 million||Timothy M. Leahy||Steven M. Barry and Stephen E. Becker continue to manage the fund||$123.3 million outflow||82/152|
|Goldman Sachs Technology Opportunities||$463.7 million||Jonathan A. Neitzell and Lawrence Tankel||Sung Cho and Charles (Brook) Dane join Steven M. Barry and Michael DeSantis||$44.4 million outflow||18/36|
|Goldman Sachs Equity Income||$402.4 million||John Arege was taken off on Dember 29 2017||Charles (Brook) Dane, Daniel Lochner joined Sean J. Gallagher to manage the fund on December 29 2017.||$63.1 million outflow||94/104|
|Goldman Sachs Focused Value||$5.9 million||John Arege||Sean J. Gallagher continues to manage the fund||$1.5 million inflow||93/109|
|Goldman Sachs Large Cap Value||$713.9 million||Charles (Brook) Dane and John Arege||Sean J. Gallagher continues to manage the fund||$472.3 million outflow||100/104|
|Goldman Sachs Mid Cap Value||$2.3 billion||Timothy Ryan||Sean J. Gallagher, Sung Cho and Adam Agress continue to manage the fund||$2.9 billion outflow||79 / 89|
|Goldman Sachs Small Cap Value||$7 billion||Robert G. Crystal, Sally Pope Davis and Sean A. Butkus continue to manage the fund||$427.4 million outflow||111/247|
|Goldman Sachs Small/Mid Cap Value||$128.1 million||Robert G. Crystal, Sally Pope Davis and Sean A. Butkus continue to manage the fund||$57.6 million inflow||47/89|
A spokeswoman for GSAM declined to comment on the team merger, its rationale or whether it has resulted in exits from the firm.
In the document filed with the SEC, GSAM said that the changes would 'benefit the funds by providing a more holistic investment perspective and the ability to leverage investment ideas across the US fundamental equity platform.'
Goldman hit the headlines earlier this week in an FT story that said the firm was one of the worst-selling mutual fund managers in 2017, with more than 110 funds suffering a total of $22.7 billion of outflows in the past year.
The FT report was based on data compiled by Morningstar, but Goldman strongly disagreed with the methodology used in the report, arguing that the inclusion of money market funds in the analysis painted a misleading portrait.
It said that these were short-term vehicles and that it had inflows across all asset classes and regions in long-term fee based funds.