Investor protest at Aberdeen bonuses

FURIOUS investors protested at the lavish bonuses paid to bosses of Aberdeen Asset Management as it continues to haemorrhage money from nervous savers.

In a gloomy trading update, the struggling fund manager revealed its customers withdrew £9.1bn in the final three months of the year amid fears about the slowdown in China and emerging markets.

The announcement came as 34pc of shareholders rejected the emerging market specialist’s annual remuneration report, which sanctioned big bonuses for bosses. Chief executive and founder Martin Gilbert received £4.34m last year, including a £3.825m bonus. Fund manager Hugh Young was awarded a £3.4m bonus.

These awards came despite a torrid year to the end of September, in which savers withdrew almost £34bn. Investors have run out of patience with the firm’s failure to spell out how it calculates bonuses, as it refuses to publish performance targets. The pay revolt is also an embarrassing blow for Aberdeen, which has had to fend off speculation it has sounded out suitors about a takeover.

Big institutional shareholders in Aberdeen, which runs more than £290bn of money on behalf of its customers, include Lloyds and rival fund manager BlackRock.

The firm yesterday said the views of shareholders – and particularly institutional investors – have ‘changed significantly in recent months’, adding the vote at its AGM in Aberdeen sends a ‘clear message’.

A spokesman said: ‘We intend to improve our transparency, disclosure and communication around the performance targets for our incentive schemes.’

Shares rose 3.1pc, or 7.2p, to 240p.