The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Banking

Barclays' outsider tries to settle in

Barclays' appointment of investment banker Bob Diamond as chairman of Barclays Global Investors last summer indicated the group's commitment to fund management. But can BGI, which only contributes a fraction of Barclays' profits, gain the recognition it wants?

outsiders 780px


IT CAN'T BE easy being a fund manager in the Barclays group. In the investment world Barclays Global Investors is huge. But in the context of the bank it's small fry.

Last year, when a lot of investment houses were struggling, BGI's profits were up 41%. It made £110 million. But the group's investment bank, Barclays Capital, made £593 million and pre-tax profits of the group as a whole were £3.2 billion.

In the previous year BGI made £71 million out of group profits of £4.1 billion - an even smaller slice of the pie. Barclays initiated a review of the business and considered selling it off. All parties now say that those issues are in the past and both Barclays and BGI are committed to each other, as exemplified by the appointment last August of Bob Diamond, head of Barclays Capital, as chairman of BGI.

Co-chief executives of BGI Andrew Skirton and Blake Grossman are keen to draw a veil over the ownership question and  concentrate on how to improve results even further.



You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree