Fri, Jan 30, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Cerulli: Product development for retail alternatives is on the rise: Where is the demand coming from?

Friday, March 26, 2010
Opalesque Industry Update - Product development for retail alternatives is on the rise, but where is demand coming from? Cerulli's latest research on retail alternatives examines the product development activity spurring growth in this space and sheds light on the demand drivers.

“Most asset managers view the need for investors to optimize the risk-adjusted return of their portfolios as a significant driver behind developing these products. To some extent asset managers' conviction that alternative investments will play a key role in portfolio construction stems more from a perceived need in the market than actual demand,” explains Pamela DeBolt, lead analyst on Cerulli's latest report entitled Cerulli Quantitative Update: Retail Alternative Producsts and Strategies 2010.

Even though many investors aren’t directly demanding these products, some advisors are, and asset managers agree that alternatives are the next step for product line extension. “Our research shows that many asset managers have plans for at least some portion of their new product development to consist of these vehicles or strategies. Even so, we caution firms to focus on their core competencies, and resist the urge to be all things to all investors,” continues Cindy Zarker, director and head of Cerulli's retail asset management practice.

Cerulli's research explains that to be successful in offering retail alternatives, firms must develop a comprehensive distribution strategy that incorporates education and insight on what these strategies and vehicles are, and how to use them by advisor practice type, channel, and core market.

This is Cerulli's first annual report dedicated to the retail alternative space. It provides a comprehensive look at alternative mutual funds, ETFs, collective trust funds (CTFs), hedge funds, and structured products.

These findings and more are from Cerulli Quantitative Update: Retail Alternative Producsts and Strategies 2010. - KM - Source

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: Ex-Citi trader launches 'sleep-at-night’ long/short equity fund[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: After working at Citi's proprietary trading desk, managing a large portfolio between 2008 and 2011, Joel S. Salomon founded SalauMor Management in New York

  2. Investing - U.S. investors favor currency hedged Europe ETFs as euro tumbles, Quants win back investors as Swiss franc fuels volatility gains, David Einhorn's $7bn hedge fund is loading up on this stock, Hedge fund BlueMountain Capital unveils Ocwen Financial short, claims default on notes[more]

    U.S. investors favor currency hedged Europe ETFs as euro tumbles From Reuters.com: U.S. investors stung by the falling euro who want to stay invested in Europe are turning to exchange-traded funds designed to strip out the impact of the region's currency. The biggest among so-called "cur

  3. News Briefs - Millennials use tech tools to jump into investing, Winklevoss twins to launch bitcoin exchange with FDIC insured deposits, Robertson’s legacy from hedge funds to New Zealand, Real estate managers exploring smaller open-end funds[more]

    Millennials use tech tools to jump into investing It is the Facebookification of monetary investing. From social networking platforms that enable young investors to stick to every other's stock-picking mojo, to internet sites for initially-timers hungry for a piece of the Silicon Valley

  4. Update: Prosecutors seek 12 years for hedge fund manager Francisco Illarramendi[more]

    Komfie Manalo, Opalesque Asia: Federal prosecutors have asked the court to sentence convicted hedge fund manager Francisco Illarramendi to 12 years imprisonment for running an elaborate Ponzi scheme that bilked investors hundreds of millions in dollars, including a Venezuelan pension fund, report

  5. Institutions - Ontario pension fund leader calls all asset classes ‘expensive’, Taiwan's BLF plans $2bn in alternative mandates[more]

    Ontario pension fund leader calls all asset classes ‘expensive’ From WSJ.com: The head of one of the world’s largest pension funds said that across asset classes, “everything is expensive.” Ron Mock, who leads Canada’s $141 billion Ontario Teachers’ Pension Plan, said that the plan would