Impax Asset Management (AIM:IPX) tumbled by a fifth as it revealed it had lost the mandate to manage a £5.2 billion portfolio of assets for wealth manager St James's Place PLC (LSE:STJ).
SJP has issued notice on Impax’s management of the Sustainable & Responsible Equity Fund to take effect from February if unit holders ratify the decision at a meeting on 9 January.
Impax said the fund is the only one it manages for SJP and the mandate termination reflected the wealth manager seeking to “further diversify the fund across investment styles”.
The impact on revenue from losing the mandate is around £12.7 million on an annualised basis, said a statement from the specialist ESG fund manager.
Shares in Impax fell 21.5% to 257p.