The firm has ended any relationship with UK firm Odey Asset Management following serious allegations made by 13 women
Canada Life says it has ended all dealings with a UK asset management firm whose eponymous founder is accused of sexual assault.
"We've made a very quick and clear decision," the Canada Life spokesman told Reuters. "It shows the seriousness with which we see the situation."
The firm, Odey Asset Management, part of the Odey Group, was founded by one of the best-known hedge fund managers in the UK Crispin Odey who has been accused by thirteen women.
Odey Group issued a statement to investors and reported by Reuters that said it "does not recognise the picture of the firm that has been painted" by the allegations made about Crispen Odey.
The UK’s Financial Conduct Authority is believed to have been investigating the matter since 2021.
Addressing the reports of service providers ending their relationships with the firm, the asset management business also stated:
“While we cannot comment in detail, again for legal reasons, we are in active discussions with all service providers and we are confident that our service providers will continue to work with us to ensure that the interests of investors are protected.”
Crispen Odey told the news firm that the reports were "a rehash of an old article and none of the allegations have been stood up in a courtroom or an investigation."
However, over the weekend Odey Asset Management issued a statement to UK media to say that Crispin Odey would be leaving the company.
“As from today, he will no longer have any economic or personal involvement in the partnership," the statement said, as reported by the BBC. "Odey Asset Management Group Ltd will also cease to be a member and the partnership will now be owned and controlled by the remaining partners and managed as an independent legal entity."
The firm said that its policies had been followed at all times and that it had been investigating allegations against Crispin Odey.
Thirteen accusers
The sexual misconduct allegations were first reported by the Financial Times and UK media firm Tortoise in a joint report.
They include reports of abuse or harassment from several women who either worked for the asset management firm or had professional or social dealings with Crispin Odey and span a 13-year period from 1998 to 2021.
The BBC reported that Crispin Odey has been accused of indecent assault before, in 2021, but was found not guilty with the judge highlighting “inconsistencies” in his accuser’s account. The accusation was made to police in 2017 in the wake of the #MeToo movement.
None of the allegations against Crispin Odey have been proven in court. It is not clear whether they have been reported to police.
Further fallout
As well as Canada Life, Schroders is also reported to have ended its relationship with Odey Asset Management while JPMorgan, Goldman Sachs, and Morgan Stanley are said to be reviewing their dealings with the firm.
It was also reported over the weekend by Sky News that Odey asset Management may have sold a significant investment in a UK electrical retailer and suggested that “it may be unable to stall a fire-sale of assets amid a wave of sexual misconduct allegations against its founder.”
