GMO Appoints New CEO from QMA

Scott Hayward will take the helm of the value-investing firm come February 13.

Scott HaywardScott Hayward, CEO, GMOGrantham, Mayo, Van Otterloo & Co. (GMO) has a new CEO and a new focus for 2017: climate change.

Scott Hayward will lead the value investing-focused firm effective February 13, 2017, the firm said Monday. He joins from QMA (Quantitative Management Associates), and replaces current interim CEO Peg McGretrick.

“He is a strong cultural fit for us and comes with a long track record of delivering investment excellence and innovation,” McGetrick said in a statement.

Hayward spent 13 years with QMA, a Prudential subsidiary, serving as CEO for 11 of them. Previously, he was executive vice president of Jennison Associates and managing director of JP Morgan.

“GMO is an iconic, world-class investment manager with an exceptional history of investment thought leadership and independence,” Hayward said. “I look forward to working with such an accomplished team to bring the best of GMO’s fundamental and quantitative capabilities to bear on behalf of our clients.”

The Boston-based firm also hired Andy Martin, who most recently served as head of global hedge fund research for Cambridge Associates, to the newly created position of head of investment teams.

Martin boasts an extensive background in equity research, with time spent at Credit Suisse First Boston and Donaldson, Lufkin & Jenrette prior to his 10-year tenure at Cambridge.

GMO said it will further turn its attention on strategies focused on climate change, with its founder and legendary investor Jeremy Grantham stating “global warming will be the most important investment issue for the foreseeable future.”

“GMO has been doing fundamental research on investment implications and opportunities relating to environmental factors for years,” Arjun Divecha, GMO partner and chairman, said, “We are confident that now is the time to partner with our clients and provide investment solutions.”

Related: GMO: Now Is the Time for Hedge Funds & GMO: Risk Parity Could Pose Systemic Risk

By Sage Um