Knowledge Centre

Knowledge Centre Archive

Apr
7
2011

Investment Managers Optimistic But Remain Focused on Increasing Efficiency

REALISTIC OPTIMISM. While managers are positive about their firm’s business prospects, they are not being complacent but investing to address operation, distribution, and regulatory/compliance areas.

At a recent event for its investment manager clients, SEI polled approximately 60 senior investment management operations, distribution, and investment professionals. The poll findings revealed investment managers felt overwhelmingly optimistic (88%) about their prospects primarily due to positive market expectations and firm-specific strengths such as superior performance and well-respected brands. A small minority of managers (12%) expressed concern about their outlook primarily due to a sub-par distribution strategy and sub-optimal distribution resource commitment. Investment managers expressed particular bullishness for alternative investments and cited the institutional channel as presenting the most promising opportunity for growth.

Despite a renewed sense of optimism, managers identified addressing new regulatory requirements as a significant challenge and cited a lack of efficiency and scalability as their greatest operational challenge. Managers are putting their money where their mouths are – reporting their investments are focused primarily on operational efficiency and enhanced client service and distribution. The detailed findings are as follows.

Download the complete poll results.