August 27, 2015

Reuters: BNY Mellon pricing glitch affects billions of dollars of funds

"BNY Mellon Corp was scrambling to fix a computer glitch on Wednesday that has delayed how billions of dollars of assets are valued, throwing the U.S. funds industry into disarray and damaging the reputation of the world's largest custody bank," according to an article in Reuters.
"No one here can understand why it's not up and running yet," said one executive at a firm that was affected.
Unfortunately for investors, this problem came at a bad time to add more uncertainty in the markets.
Thank you, Reuters, for adding my thoughts.
Read the full story here.

August 24, 2015

One easy fix to get more market commentary readers

When the market is down, you must communicate all over town, or at least to your shareholders.

Today, I've received emails and read Twitter posts from money managers that tell me to stay calm and stay the course. Unfortunately, in many cases, their opinions and messages are buried under their bland headlines such as "Special Market Update, "XYZ Investments Market Commentary" or "ABC Capital News."

These managers could likely earn more readers and interest if they led with one opinion on a timely topic, like the currently volatility, or a question that the content will answer.

Here are two strong headlines from my Twitter feed today.

Note If I didn't want asset managers to read this post, I would have titled it, "FundFactor August 24th Update."

My friend and writer Susan Weiner wrote about this issue last year. You can read the full article here.

August 18, 2015

Morningstar: Flows chase overseas performance

U.S. equity outflows rose to $14.3 billion in July, up substantially from $8.0 billion in June. Consistent outflows from actively managed funds drove the increase, outranking steady inflows on the passive side. Unsurprisingly, this money seems to be making its way to international equity funds, where $21.2 billion was injected during the month of July. This echoes a 7.7% return on the MSCI EAFE, compared to only 3.4% returned on the S&P 500.

Current investment patterns suggest that the United States is in the late phases of a bull market, while Europe and Japan are still actively stimulating their markets. The global economic disparity is reflected in flow patterns.

For more information on U.S. asset flows during July, please click here.

August 6, 2015

MME: Ready? Set? Go to an Industry Conference!

This article was originally published in Money Management Executive

Have you considered attending large advisor conferences such as the Morningstar Investment Conference or Schwab Impact in the past, but missed out because you were reluctant to pull the trigger?
Industry conferences can be a great place to showcase your funds and engage advisors. They provide unparalleled opportunities for you to play with the big boys, setting up your booth alongside some of the most well-known brands in the industry. Hundreds, if not thousands, of financial advisors with the potential to sell your products will be present. At dinners and breaks, you'll have the opportunity to meet a number of quality advisors informally and build new relationships. 
But, something might be holding you back. You may be thinking, "Is it really worth all that money? What if I don't look as good as the others and even worse, what if no one talks to me?" The price of exhibiting at these events can be hefty on top of booth, materials and travel costs as well as time away from the office. As an asset manager, you can't help but think in terms of what the return will be on your investment. While that's nearly impossible to quantify specifically, there's often a nagging feeling that attending is the right thing to do. You can learn a lot by attending just one or two of these conferences before you exhibit.

This first step can increase advisor engagement with your firm

When considering ways to increase your firm’s visibility, there are two primary routes to take: public relations or marketing. The two have long worked beside each other but with distinctly separate methods. In today’s world of instant communication and constant data collection, though, public relations and marketing can no longer be considered two separate entities. Instead, they have become collaborators.