Former Adam & Co executives behind new rival company

A GROUP of former Adam & Co executives are behind a rival business in Edinburgh and are expected to compete with their former employer for investment administration business.

A number of staff from the private bank have followed William Kirkwood, head of private client investment administration, and Ross McDonald, head of investment operation to IM Wealth Services. It has opened an office in Multrees Walk.

Kirkwood and McDonald, who ran the firm's investment administration business, walked out of the private bank, owned by Royal Bank of Scotland, in April after more than 20 years.

Working alongside the pair at the new company is Chris Fisher, who spent 14 years at Brown Brothers Harriman before joining UBS Wealth Management in 2007.

The parent company of IM is Information Mosaic, a Dublin-based firm specialising in back office asset management and risk software.

John Byrne, the founder and chief executive of Information Mosaic, recently said that the company would have revenues of more than €20 million this year, up from €17.3m last year.

The launch of IM Wealth marks a long period of turmoil for Adam & Co after a number of senior staff departures. Recently the firm announced 130 lay-offs in its back office after this function was merged with RBS's other private bank, Coutts.

Last month its chief executive David Cathie left the firm, and Niall Kennedy, one of its most senior investment directors, left to join rival wealth manager Cazenove. Adam & Co's investment administration business is understood to be responsible for the back office of around 20 boutique wealth management firms, looking after 5 billion in assets.

A company spokesperson for IM said: "Our strategy has always been to recruit business-level people from within the industry to inform strategy and technology development."