In our multi-asset approach, we take an active and passive approach to building portfolios. We firmly believe active has a place, but only when you have skill in selecting active managers. Finding the right managers is hard work. When market impact, costly trading and illiquidity are constantly nipping at their heels, how do these active managers manage their success with increasing assets under management (AUM)?
Some managers do this better than others. Through our years of researching managers, since 1969, we’ve identified some of the better techniques used by managers to increase their chances of success. This paper lists these seven techniques utilized by managers to effectively accommodate AUM growth.