27th November 2015
Alliance Trust chairman Karin Forseke has announced she will step down from the board in January.
The announcement comes just two months after the 127-year old investment trust announced a major reshuffle. It said it would make a number of changes to put the company into a better position to deliver stronger performance while cutting costs. This included a move to make the board independent and consist of non-executive directors.
The changes meant the trust’s chief executive Katharine Garrett-Cox stepped down from her post.
Forsake (pictured) now believes the time is right for her to step down.
‘We are making good progress implementing the changes announced in October to accelerate our long-term strategy and we expect the new governance structure to be in place in early 2016. Alongside the new non-executive only board of the trust, excellent independent boards will be in place to oversee the development of Alliance Trust Investments and Alliance Trust Savings,’ she said.
‘As these changes are implemented, the chair of the trust’s role will change and as a result I believe now is the right time for me to move on.’
The sweeping changes follow problems earlier in the year between the trust and its largest shareholder, US hedge fund Elliott Advisors. In April the trust accepted two of Elliot Advisor’s proposed three directors on to its board to avoid a public showdown.
Elliot Advisors has criticised the trust over performance and its independence.
Non-executive director of Alliance Trust Gregor Stewart will become the interim chairman as the board starts the process of appointing a new chair.