Rebuilding trust is primary challenge for global asset managers
A white paper published by SimCorp suggests that the industry cannot address issues such as risk, cost and growth without restoring investor trust by adopting greater transparency.
The research involved academics and industry professionals, and grew out of a SimCorp StrategyLab meeting in Copenhagen held in 2011.
The paper points out that during the financial crisis of the late 2000s, many asset managers failed to protect their investors against market decline and volatility; others sold products that they themselves did not fully comprehend.
The result has been that their reputation has been severely tested and the need to rebuild confidence is the single most important challenge for the industry: “confidence has been shaken and regulators have been stirred,” it points out.
Contributers to the paper include:
– Lester Gray, chief executive of Schroders, Asia
– Michael Jarzabek, general manager of LBBW Asset Management
– Lars Eigen Møller, executive vice president and head of asset management at Danske Capital
– Dr Matthäus Den Otther, managing director of the Swiss Funds Association
Dushyant Shahrawat, senior research director at Tower Group
– Marno Verbeek, professor of finance at Rotterdam School of Management, Erasmus University.
The paper was edited by Stephen Brown, who is David Loeb professor of Finance at NYU Stern School of Business.
To read a copy of the report [asset_library_tag 3822,click here]