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Fleeing Investors Add to GAM Challenges After Haywood Suspension

Patrick Winters, Tom Beardsworth, Suzy Waite
Fleeing Investors Add to GAM Challenges After Haywood Suspension

Swiss investment firm GAM Holding AG shut down one of its biggest fund strategies and suspended a top money manager in a bruising few weeks. Since the firm announced the suspension of Tim Haywood on July 31 and froze his funds, investors pulled about $2.3 billion from other GAM strategies, according to data compiled by Bloomberg through Aug. 17. While the numbers may not entirely capture firm-wide flows, especially from private funds, they do suggest that redemptions accelerated from July, when clients took out some $800 million.