Fund management groups will need to radically revise their business models in order to retain clients after the traumatic events of the past 18 months, according to a comprehensive pan-European survey.
Until now asset managers have largely competed on fund performance and cost but fund buyers are now turning their back on such concerns and instead demanding constant hand-holding and vastly improved client service.
“We are looking at a new world. In the past, everyone was focusing on performance, accompanied by a strong brand or attractive pricing. Client service is now most important,” said Hans Jurgen Schmolke, managing director of Berlin-basedMetrinomics, which conducted the survey.