|
Matthias Knab, Opalesque: Professional retail fund selectors in the UK are increasingly favouring active strategies against a volatile market backdrop, as advisers look for ways to help retired clients manage inflation, drawdowns and cash flow needs, according to new research commissioned by Rathbones.
The survey of 100 UK IFAs, discretionary fund managers (DFMs) and private bank fund selectors found that 95% say market turbulence makes active management easier to explain to clients. Respondents identify trust and longevity as the most important qualities in an active manager, followed by risk management, return potential and downside protection.
Drawdown management a priority for retired clients
For clients with cash flow requirements, particularly those in retirement, drawdown management is a key priority. More than nine in ten respondents (93%) describe it as very important, including 30% who view it as critical.
Absolute return is the preferred approach for 52% of respondents, compared with 43% who favour relative return. A further 5% say they assess managers' strategies case by case.
Tom Carroll, CEO of Rathbones Asset Management, said: "Periods of market stress can sharpen the case for active management. Advisers are looking for managers who can combine judgement, risk discipline and clear communication, particularly when clients are under pressure to make short-term decisions. For retired clients, that support can be especially va...................... To view our full article Click here
|
RSS
