WHAT CFPs WANT FROM A FUND MANAGER
CFPs Top 10 Frustrations with Fund Managers
- Inexperienced. A lack of stability in the management team and a lack of expertise in the investment team.
- Unadventurous. Funds that merely hug an index rather than backing the manager’s convictions.
- Overpriced. Poor fund performance or high fees relative to performance.
- Funds with an overcomplicated narrative. They’re usually more hype than substance.
- Funds with an underwhelming ‘generic’ narrative. They lack the unique character and flavour that gets clients excited.
- Insufficient diversification to suit client target asset allocation. Fund managers, we like not offering funds that fit our client’s needs.
- Out of touch. Misaligned philosophy/values between fund and client.
- Stale. Large funds that don’t act like they have ‘skin in the game’ and respond too slowly or too weakly to market moves.
- Disappointing. Previously great funds that get distracted and flounder when they list on ASX.
- Lack of transparency. Inadequate details around fund methodology and ambiguity around fund constituents.