Guy Stephens: That rare fund manager skill-set called talent

Beware flawed path to mediocrity

clock • 6 min read

In light of the FCA's Asset Management Market Study, Guy Stephens revisits the eternal question of the roles active and passive investment can play ensuring end-investors receive value for money

The passive versus active question has reignited once more following the recent FCA review into charges within the asset management industry and it is of course important to ensure end-investors are receiving value for money. There is also a valid point in that, at the advising end of the recommendation process, we all naturally tend to charge less as a percentage fee, the more wealthy the individual client, as there becomes a focus on the absolute figure the client is paying. At the fund management end of the process, no such value transfer takes place with fund managers benefiting enti...

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