Charterhouse Heirs Struggle to Maintain the House Bonnyman Built

Charterhouse Capital Partners LLP, Britain’s oldest buyout firm, posted some of the industry’s biggest returns after spinning out of HSBC Holdings Plc. Handing off that legacy to the new generation is proving harder.

While its London-based competitors expanded across Europe, Charterhouse operated from a single office in the shadow of St. Paul’s Cathedral, betting that a tight-knit culture would produce stronger returns. The strategy worked, with results surpassing CVC Capital Partners Ltd., Europe’s biggest private-equity firm, according to data compiled by Bloomberg.