“We don’t need services, we need client assets”

A statement Alexander heard a lot in the last 15 years from managers with a fund in the “death zone”: With friends and family money already fully called, fund managers are now urgently looking to grow their fund size so a) investment performance is not eaten up by the fund operating fees, and b) they can get on bank distribution platforms. Being caught between a rock and a hard place, they are now looking into quick fixes. And attracting those who sell contacts, relationships, or even assets.

It is a badly kept industry secret that there are few situations where client assets can be traded against commissions. It does not even matter if one structured such a compensation based purely on AUM, or as a cut of total economics (AUM and performance fees).

Any credible marketer, i.e. someone who is not simply overselling his control over such assets, would price them way above the figures that get handed around. The option-like structure of such arrangements also tends to create long-term issues and uncertainties for the asset buyer.

If I haven’t lost you above, you will have guessed it: We don’t engage in AUM trading.

But we offer lead generation as a service. We believe that organic, steady growth is a key to having loyal investors. Those investors who don’t immediately move on because you finished a tumultuous year slightly negative.

Request a call-back today to discuss a pricing model that works best for you.