GAM Holding AG is close to appointing an internal candidate as its new CEO with the Swiss fund manager's head of sales, Tim Rainsford, considered as the top choice for the role, Reuters reported, citing sources familiar with the matter.

Since November 2018, the company has been led in the interim by David Jacob after former CEO Alexander Friedman stepped down from the post following a flood of investor redemptions triggered by the suspension of fund manager Tim Haywood.

Rainsford, who joined GAM in 2017, has become the preferred choice for many of the embattled company's fund managers, while Matthew Beesley, head of investments, has also been in contention for the post, according to the sources.

A spokesman for GAM said the board of directors is looking at both internal and external candidates, with the recruitment process ongoing. However, sources told Reuters that lobbying the role to individuals outside the firm has proved to be difficult.