Jupiter To Close Bermuda Office

January 19, 2012

[Updated] Britain’s Jupiter Fund Management is to close its hedge fund in Bermuda this year, following substantial net outflows during the last quarter of 2011. The Company presently employs eleven people – eight of which are Bermudian.

It emerged today [Jan. 19] that the firm saw net outflows of $347 million during the fourth quarter of 2011, with $54 million being pulled from hedge funds, slimming the division’s assets by more than half.

“We took the decision to close our Bermuda office during 2012,” read a trading statement. “Bermuda has played a significant role in our business for many years but, with the reduced scale of our hedge funds, the local work required is insufficient to justify maintaining an office on the island.”

The overall decline during Q4 was blamed largely on “the loss of a segregated mandate,” although the statement also noted that net flows were positive for the year overall.

Based in Cumberland House on Victoria Street, Jupiter Bermuda acts as the investment manager to Jupiter’s range of offshore funds that includes mutual funds, single manager hedge funds, private equity vehicles and fund of funds.

Jupiter Bermuda offered investors an opportunity to invest with some of the UK’s best known fund managers and until recently the range of products available continued to grow through the addition of Jupiter’s Luxembourg-based SICAV range and its alternative and private equity vehicles structured offshore, primarily through Bermuda.

Update 11.33am: A spokesperson the Bermuda office confirmed that they employ 11 people, 8 of whom are Bermudian.

They issued a statement saying, “It is with regret that we have informed employees working for JAM Bermuda that we will be closing our Bermuda office in 2012.

“Bermuda has played a valuable role in our business for many years but unfortunately there have been significant changes for JAM Bermuda’s business in recent times resulting in a reduction in the level of work required to be undertaken to insufficient levels to justify maintaining an office on the island.

“We would like to thank our employees in Bermuda for all their hard work and dedication. We would also like to thank the Bermudian authorities and people for the support and help they have given us over many years.”

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Comments (44)

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  1. Razor says:

    and the exodus continues….

  2. Chart says:

    There’s more coming.

  3. Holla! says:

    Yes, there’s more coming! And it’s not the PLP, UBP, or OBA’s fault. It’s just greed!

    Though, the PLP needs to start paying attention.

    My main problem that people are not taking heed to is that foreigners can go back home to their house that is now paid for while we have to stay here and lose our house.

    We as Bermudians were told to get qualified, now were gualified. We can’t even apply for the pot washer’s job because now were over qualified. Go figure!

    • Whatever says:

      So it is the fault of the greedy foreigners. Right.

  4. star man says:

    Add up the 10 jobs lost at Jupiter, plus the 8-10 jobs lost at Ironshore, then compare that to the number of supposed jobs created by the 54 “new” companies from 2011… and you’ll end up with a negative number. The IB job losses outnumber the alleged gains by a wide margin.

    • Ryan says:

      … how do you figure that? I am not saying you are necessarily wrong, per se; however, I have heard other things which contradict your supposition.

      • navin johnson says:

        only 2 of the companies are class 4 reinsurance companies and they are in start up mode…the rest are captives and ILS which utilize the underutilized captive management firms already on the island…the 54 new companies needed to be netted out against the lost companies and people…any way you slice it we have far fewer IB people here at the end of 2011 then at the beginning of 2011 and 2012 is not starting off on the right foot..hopefully the 2 new companies will grow into something…. tough times….

  5. S Brown says:

    “We took the decision to close our Bermuda office during 2012,” read a trading statement. “Bermuda has played a significant role in our business for many years but, with the reduced scale of our hedge funds, the local work required is insufficient to justify maintaining an office on the island.”

    I wonder how some people will spin this statement the company made and blame the Government for the leaving.

    I hope ALL the employees will be able to find work.

    • LOL (original) says:

      S.Brown I have heard first hand that our Government presents certin challenges and that the term limits has had a disruptive affect on IB.

      LOL

  6. Blame Game says:

    Kodak is seeking Chapter 11 protection also. Lets blame the PLP for everything. OBA I’m still awaiting your plan to save us from the bad PLP crew.

    • Chart says:

      It’s too late to “save” Bermuda. We can only “rebuild” Bermuda now.

      Sorry, but it’s the ugly truth and I understand that it’s hard for PLP true believers to accept.

    • Death to party politics says:

      Save? That ship sailed a while back.

  7. Cancer says:

    Let’s get a new government in this island so we can get ourselves back on track cus this government ain’t got a clue!

  8. navin johnson says:

    and add 20 more at the Bank of New York bermuda office to the list

  9. Cancer says:

    How can OBA put out their plan if they are not the government yet. We touched on what we would like to implement in our reply to the thrown speech! Whatever we do once were government would be better than what we have now… I assure you of that!

    • LaVerne Furbert says:

      I can’t wait to read the OBA’s reply to the next “thrown” speech. Maybe the last reply to the “thrown” speech will be thrown in the garbage.

      • LOL (original) says:

        Tell’em 8 votes put it right next to the budget I imagine.

        LOL

      • Boom says:

        You really don’t have Bermuda’s best interest at heart LaVerne. I’m surprised that an ex elected official and one put in a position to serve the people at the senate no less, would mock that public members spelling.

  10. Claudio says:

    How about the landlords of these commerical buildings decrease rents to assist companies and retailers?

  11. LaVerne Furbert says:

    Little Relief for Jobless Black Workers in 2011 (From the AFL-CIO)
    Unemployment for African American workers has remained virtually unchanged, hovering between 15 percent to 16 percent throughout 2011, while unemployment for the rest of the workforce dropped below 9 percent, according to a new report by the University of California-Berkeley’s Labor Center.

    I wonder why some people think that Bermuda is the only place the should not be affected by the recession. You all are such jokers.

    • navin johnson says:

      read todays jobs report in the US Laverne and also while you are at it read the retail reports and try the housing too…they have been coming out of it for a few years and we are just in the early stages…your governments policies and its people are to blame….it could have avoided Bermuda….

      • Rhonda says:

        Glad to know President Obama is doing a good job….even though American still has 14 million people unemployed plus 10 million that has stopped looking..16 trillion in debt..and there debt ration just reached 100%….however like you navin johnson..I am confident that in time, the slow recovery will bring brighter days…just like in Bermuda..we are still reeling but there are signs of growth…

        53 is better than zero

    • LOL (original) says:

      Huh f’ the states we live in Bermuda…………….

      LOL

      • Navin Johnson says:

        Well since Laverne wants to reference the. U S you may want to F the states by we survive because of the states and they have been in recovery for 2 years while we sink and blame everything on the global recession

        • Rhonda says:

          @ Navin Johnson the USA went into recession in 2007- slow recovery starting in 2010, the recession hit Bermuda to late 2009 – to date I say we still have another year….

  12. Cancer says:

    Hey Laverne – i can’t wait for the auditor generals report to be released. Then we’ll finally know what’s going on around here!

    • Hmmmmm says:

      You mean there’s something you don’t know? You all speak with such authority on the machinations of this Government; you bandy around words like “mismanagement and financial irregularity” with wild abandon. Now you need a report to know what’s going on? I thought these were facts all this time. So sad. This is the most investigated Government in the history of Bermuda; you know more now than you’ve ever known in the past and its still not enough. Wonder why that is ?

  13. Hmmmmm says:

    This is business folks. NO amount of extraoridnary friendliness and preferential treatment can change some of these things. This is business and unlike us, these guys understand that and when the time comes to leave they will do so saying “thanks for being so nice” as they go.

  14. Educated Fools says:

    I hope LaVerne is no longer on the public payroll since she has so much time to respond on public blogs during the day. Her infantile comments are not necessary, we know you support the PLP get over yourself, stop writing on Bernews and start instilling positive changes to the current lacking government. The key though is to keep these changes in place for longer than the election period which would require long term thought, anybody can enforce a policy to discover that it was a bad idea and a year down the road reverse it(PLP governance at its heart). A true intellectual forward thinking government instills policies that last generations.

  15. LaVerne Furbert says:

    I wonder how many people who post on this blog or any other blog are sitting at home, unemployed and writing on public blogs. Educated Fools tell me where you work and who is paying your salary. Were you gainfully employed at 4:08 p.m. today.

    Just for his information, I am no longer on the public payroll, and when I was on the public payroll, it did not prevent me from posting on this or any other blog.

    Craig Cannonier and Bob Richards are on the public payroll just as I was. Does s/he have a problem with their constant contributions to the media?

    Get over it. I will continue to voice my opinion, here, on the Royal Gazette blog and on the radio.

    I am a PLP member and supporter and I will continue to publicly support my party. Unlike you, I have the courage of my convictions. Got it?!

    • Educated Fools says:

      Actually I am currently on vacation so writing here is not an issue for me. I am glad you are no longer on the public payroll and you posting on here while you were on the payroll and admitting to that reiterates my implication that you were here posting while you should have been doing your day job.

      In regard to Craig Cannonier and the other they are active politicians so talking to the press and debating with current government officials is part of their job description. Arguing with bloggers is not but as you aren’t getting paid you can write what you want.

      The more you write the more misinformed you sound, enjoy following the pied piper all the way to the river.

    • Family Man says:

      Funny you should speak of the PLP and convictions.

      When do you think we might hear of Paula “following the money” and actually taking Andre Curtis to civil court for breach of contract in an attempt to get back some of our wasted tax money?

    • Rick Rock says:

      Actually, LaVerne, I am at home and always post from home. Is the same true for you?

  16. Fire the Mongrels says:

    I have heard that a big banking institution are about to lay off another 35 staff

  17. Rhonda says:

    no matter all the spin companies relocate for financial reasons..sounds like the OBA wants government to subsidizing these companies losses to keep them here..Corporate welfare…

    • Boom says:

      Government can’t afford to pay for itself!

    • Mad Dawg says:

      Rhonda, that’s the most stupid statement I’ve seen in a long time.

      It’s just a guess, but do you work in the dept of finance?

  18. jt says:

    Man – you are thick Rhonda.

  19. Cancer says:

    Lavern encourage Paula to call an election now being you think PLP will win. I just can’t wait to get you guys Otta here. Btw PLP are great as an opposition so we need to put them back there!

  20. Cancer says:

    Laverne sorry I said “thrown speech” earlier but I think anyone with any common sense knew what I meant “Throne Speech” hope your happy!