Andrew Fay, Deutsche Asset Management's Asia Pacific chief investment officer and business head is to leave the group.

Effective immediately, Chris Larsen has been appointed deputy head of asset management, and will officially become head of the Australian asset management business on January 1 2008.

He has decided to leave the organisation at the end of the year to take an extended break from full-time involvement in the industry.

"This has given me the opportunity to look at pursuing personal endeavours next year and I believe the time is right to do so," Fay said.

Fay will remain at the helm of the asset management divisions business and investment management functions until December 31. He will remain as director on the board of Deutsche Asset Management (Australia) Limited after that.

''Andy's made a tremendous contribution to our business, most notably by broadening the product range from its initial domestic manufacturing base to become a leading global and alternative investment house in Australia," Deutsche Bank Australia and New Zealand chief executive Chum Darvall said.

Fay, the former head of Australian equities for Deutsche, joined the then State Super Investment Management from AMP in 1994.

The move comes only a mater of months after Deutsche sold its Australian fixed income and Australian equities portfolios to UK global asset manager Aberdeen Asset Management for $148 million.

That deal came 16 months after the UK group had acquired most of the German bank's London and Philadelphia-based asset management operations.

In another move John Dorrian takes the role as head of RREEF Australia, responsible for its real estate, infrastructure and hedge fund operations.