Our latest eBook, 'Towards a New Era of Asset Management', looks at some of the key conversations around tech, investment and disruption that took place in Berlin at FundForum International 2016. Jenny Adams, FundForum International Editor-in-Chief, looks back at the key game-changing conversations that took place, and what discussions we need to keep having in the lead up to next year's FundForum International, taking place in Berlin 12 - 14 June 2017.
For the first time in its 26 year history, 2016 saw FundForum International move to Berlin. And along with a shift in location, came significant shift in many of the discussions.
Hubris was on the back-burner and a new honesty surrounding the future of asset management dominated the three days of packed-out, standing-in-the-aisles sessions at the world’s largest and most influential event in global asset management.
So what were the top conversations debated most urgently between the leaders, innovators and decision makers managing over 13.71 trillion euros of assets?
1. How to remain competitive & respond to disruption
From low-cost passive funds to disintermediation by cheap XO only robo-advisors and engaging P2P disruptive finance models, the question was how, what and with whom to collaborate, partner or buy to create sustainable competitive advantage? Will it impact your ROI anyway?
Audience’s Top Pick Sessions: Samantha Ghiotti, ANTHEMIS and Martin Gilbert ABERDEEN ASSET MANAGEMENT.
For more, read the article on page 23, Innovations on the Digitalisation of the Investment Value Chain.
2. Where should you play now if you are an active manager?
With the ETF as your benchmark performance there are only three options for positioning your firm for the future: “Either be supermarket, or create new partnerships with other asset managers or distributors with products and values you cannot provide, or focus on something very special.”
Audience’s Top Pick Session: Rob Fairbairn, BLACKROCK
3. How can the industry adjust to the realities of next generation fund distribution?
Without closing the large implementation gap between customer promises & the real outcome, successful fund distribution is doomed. How to effect the tricky transformation of the industry from product-push to demand-driven is on everyone’s lips. As regulators get to grips with this issue, the digitalisation of the value chain is underway, dissecting the front to back office process-by- process. How can new technology and big data help cut costs, end-user fees, aid transparency, improve investment outcomes and ensure decision making in the customer’s interest?
Audience’s Top Pick Sessions: Ben Phillips, CASEY QUIRK and JB Beckett, GEMINI
For more, read the article on page 10, What will Distribution Winners Look like in 2020?
4. In a low growth, high volatility economy, what are the viable, stable investment strategies of the future?
What does an asset management industry focussed on longer-term investing in the real economy look like? From partnering private equity and venture capital with new credit funds to long-term investment in infrastructure, energy and renewables what will the advance of the longer term investment horizon as the one of the only routes to growth and higher returns look like?
Audience’s Top Pick Sessions: EC DG Olivier Guersend on CMU; CEOs on ESG & Governance; New Credit Funds; Mohammed El Erian, ALLIANZ
For more, read the articles on page 13, Building the Capital Markets Union and page 7, Resilience, Agility and Optionality: Golden Nuggets of Wisdom from Mohamed El-Erian.
5. What are the new future assets & new social capital models to drive demand?
With many assets used inefficiently, people will increasingly want control of own financial
destiny that fits with their values and decisions. How could a whole new set of values-based assets be created and traded that would drive demand and deliver outcomes?
Audience’s Top Pick Sessions: Andreas Weigend, Former Chief Science Officer, AMAZON, founder SOCIAL DATA LAB; Big Data and Investment; Dr Anthony Ledford, Chief Scientist, OXFORD MAN AHL CENTRE FOR QUANTITIVE FINANCE; FundForum Experiential Lab: MUTO LABS
For more, read the article on page 30, Predictive Analytics and Machine Learning.
In our latest eBook, Towards a New Era of Asset Management, we have captured a snapshot of some of these discussions that took place on the ground in June 2016 in Berlin. Split into three chapters – Leading the Global Agenda, Investment Strategy and, The Future of Finance – the eBook includes video interviews with key experts and session summaries and analyses.
As always, I would like to encourage you to let us know what you think of these discussions on Twitter via #FundForum or via the FundForum LinkedIn Group. We look forward to seeing you again in Berlin in 2017 to continue these important conversations.
You can navigate through the eBook below by clicking the left and right arrows.