Investment - Articles - Fund managers agree CMA should split FM and IC businesses

 Xafinity Punter Southall ran a poll on current issues facing the industry and the fund managers attending voted that: 

 • 92% of fund managers believe contractual income assets (including all forms of credit and LDI) will be the asset classes in most demand by institutional investors over the next 12 months pointing to the need for assets which generate cash to meet benefit payments

 • 62% of fund managers said less than 25% of their clients place ESG within their top 3 investment priorities

 • 62% of fund managers believe that delivering clear advice is what trustees value most from their investment consultant

 • An overwhelming 81% of fund managers said they believed the CMA should recommend the split of fiduciary management business from the investment consulting arm with the Big 3 consultants

 • Finally, 90% of fund managers voted remain for Brexit and 50% predicted Manchester City to win the premiership next year.

 Patrick McCoy, Head of Investment at Xafinity Punter Southall said “It is clear from the poll that asset managers believe trustees are looking for an investment consultant who delivers clarity, specifically around building cashflow driven investment strategies, which is the focus for trustees over the medium term. It is also clear that they believe, as we do, that clients would be better served if the fiduciary management businesses are separated from their investment consulting arms, removing the stigma that has been created by the cross selling of these services.”