The three principal members of the Special Investments Group (SIG) of The Royal Bank of Scotland plc (RBS) have left the Bank to form a new alternative asset management business, Cognis Capital Partners LLP, based in Mayfair, London.

The independent partnership comprises Myra Tabor, Paul Hollowday and John Sullivan, the key individuals primarily responsible for developing the SIG business within RBS.

Cognis Capital Partners LLP also confirmed today that it has secured a mandate for the firm to continue to advise the Bank on the existing Euro 370 million SIG portfolio.

Commenting on the announcement Jim Stevens of RBS said: "I am delighted that the bank will continue to benefit from the knowledge and experience of the SIG team to assist us in managing this portfolio."

Cognis will raise and manage third party funds for institutional investors worldwide. The partners of Cognis  believe that they will be able to take advantage of substantial opportunities in the asset classes in which they specialise: European high yield and subordinated debt, distressed and equity-linked securities, and structured products.

Details of Cognis' future strategy and growth plans will be communicated once the necessary regulatory approvals have been granted within the next few weeks.