By Iain Withers
LONDON (Reuters) -Abrdn CEO Stephen Bird has stepped down, the British fund manager said on Friday, after a turbulent four-year tenure marked by deep outflows of client cash and a much-criticised rebranding.
The company said that the board and Bird had agreed it was the "right time to hand over the reins", with finance chief Jason Windsor taking over on an interim basis while the search begins for a permanent CEO.
The leadership change is likely to reignite investor calls for the company to be broken up, analysts said. Abrdn has also faced questions about its future as a standalone business, with its shares down about 30% under Bird.
Abrdn shares were last down 0.7% at 1030 GMT after gaining 2% in early trading.
The company has struggled to turn around its fortunes after years of clients pulling cash, with its difficulties underscored last year when it tumbled out of Britain's blue-chip FTSE 100 index.
Bird tried to revive the business by shedding jobs, reducing its range of funds and expanding into mass-market investing through the takeover of online platform interactive investor in 2022.
The company attracted headlines in 2021 after a widely mocked rebranding that dropped vowels from its name to become abrdn rather than Standard Life (LON:ABDN) Aberdeen.
"We view the change of leadership as an opportunity for someone to take a fresh look at the best strategy to take abrdn forward," RBC analysts said in a note, adding that some investors wanted a break-up of the company, though they viewed this as challenging.
Bird was reported to have pitched to the board the possibility of selling abrdn's underperforming investments arm in recent years. When questioned on the matter in January, Bird told reporters the company had tested every scenario but was focused on keeping and restoring that business.
Abrdn said Bird would begin a 12-month notice period and was being treated as a "good leaver" under the terms of his contract, meaning he will be paid his salary as normal and will still be entitled to unvested bonuses.
Bird will go on gardening leave at the end of June after working with Windsor on handing over responsibilities, the statement added. Former Morgan Stanley dealmaker Windsor became chief financial officer of abrdn in October.
Active fund managers such as abrdn have struggled in recent years to compete with low-cost index trackers and investment options tied to soaring central bank rates, though the company reported improved figures for the first quarter.
($1 = 0.7880 pounds)