After the last couple of years, you would not think it could get much worse for the investment management community. Just as things were starting to look up, with more clarity around Britain’s departure from the EU and the Woodford debacle fading in memory, along comes an unforeseen pandemic. Unsurprisingly, there has been further outpouring of money from UK funds.
One of the biggest concerns for active managers in recent years has been the rise of passive investment options. But the recent pain has not just been felt by those rooting through the capital markets looking for bargains. Passive funds have struggled too. While it is hard to see silver linings from the crisis we are still very much in the middle of, there lies an opportunity to restate the worth of active fund management.
Of course, active managers are well aware of this. So how can communications help active managers put their heads above the parapet during these uncertain times?
Being involved in the market is not just about stocks and bonds. Whether you are cavalier or cautious in your approach with the media, being engaged with the press offers up the platform to speak directly with your target audience. And now is the perfect time to do so.
As we move beyond this crisis there will be new regulations, industry developments and political and economic decisions that affect this industry as much as any. The structure of the markets, takeovers, trade deals, corporate governance, and the future of ESG will all be under the microscope.
With experience in talking to company boards, an understanding of the mechanics of the capital markets required by professional bodies, and a good grasp of the news cycle necessary in making investment decisions, active fund managers are well-placed to provide insight and opinion on the issues that matter now.
Once you have decided that your voice needs to be out there, you need to decide what is important to you and your fund at this time. Is it a certain sector? Is it a regulation? Or is it a trend that no one else seems to have picked up on? No matter what it is, you need to formulate a media approach that maximises exposure and effectiveness in promoting your beliefs and, ultimately, your fund.
We know very well that journalists are looking for voices to cut through the noise and provide the market with news and views that resonate. Those active fund managers that do this successfully will be the ones with access to the most influential reporters and, thus, a captive audience of asset allocators and investors in the process of making their investment decisions.