Frostrow Capital LLP was formed in 2007 to specialise in the provision of professional services to investment companies. We are majority owned by the executive team and independent of any financial institution or investment management group. As a team we have a total of over 90 years of investment company experience. We aim to provide high levels of service and impartial advice to our clients.
Historically, the investment companies sector was dominated by a number of fund management groups who provided all the services that quoted investment companies required. Such services can be split between the ‘investment activities’ and the ‘non investment activities’. The investment activities involve managing the investment portfolio and the non-investment activities are all the other activities needed to operate a quoted investment company.
Over recent years, changes in the corporate governance environment in the UK have put more pressure on boards of directors to continually review their investment manager, the investment mandate and their overall place in the market. A statement is required in each company’s annual report to this effect. This amendment to the corporate governance regime is a major catalyst for positive changes in the investment company sector.
One implication is that boards are more likely to move investment mandates from large integrated investment management groups to better performing boutique managers. In most cases, these boutique managers have no wish to provide all the ancillary services required by investment companies. This leaves the board with a problem: who to appoint to provide services such as company secretarial, administration, accounting and marketing? Whilst there are other organisations that provide some of these services, until the formation of Frostrow Capital, there was no single entity that provided them all.