Gary Black has stepped down as Janus CEO effective July 13. The Denver fund firm named Tim Armour as interim chief. News of Black's departure comes as Janus reported a 75.9 percent drop in second quarter net income.

Tim Armour Janus Interim CEO

“After much consideration, Gary and the Board have come to the mutual decision that the time is right to bring new leadership to Janus," said Steve Scheid, chairman of the Janus Capital Group board of directors.

Black succeeded Scheid as CEO in January 2006.

"The firm is in a much stronger place than when I joined, and the time is right for a change,” Black said. "Long-term performance is strong, flows have rebounded, we have a broad diversified product platform, and we’ve built a global distribution footprint across both the intermediary and institutional channels that is gaining market share."

In the second quarter, Janus posted net income of $15.8 million, down from $65.6 million a year ago. Also on Tuesday, Janus announced plans to raise capital through a public offering of common stock and convertible debt.

Armour, 60, a former Morningstar executive who was a key figure in the Chicago firm's evolution from a startup to a publicly traded company, joined Janus' board in March of last year. He earlier served as president of Stein Roe Farnham's mutual fund division.

At Morningstar, he played a key role in the development of its managed accounts service and more recently, opened doors for the firm into the brokerage industry. He left Morningstar in January of last year. 

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE