The INSTICUBE Collective Data Dashboards show that a substantial number of mandates are actually in danger.
We see not only clear intentions to shift between asset classes, but also that about a quarter of asset owners are not satisfied with their asset managers. Looking specifically at the UK and the Republic of Ireland, we see that 26.5% of mandates are in ‘high risk’ territory. And a significant number where the asset managers involved should clearly understand how they can improve, and what others do better from the perspective of asset owners. . This can relate to service quality, demonstrating ‘going the extra mile’ in pitches, or simply to fees and performance.
If we assume that asset owners will generally abandon unsatisfactory asset managers, where should they go? Do they stay with competing asset managers in their own region, or do we perhaps see politically motivated cross-border movements? With regard to the significant number of dissatisfied clients in UK and the Republic of Ireland, we should keep an eye on future behavior in this region and, of course, on cross-border asset allocation shifts motivated by Brexit.