Intelligence Report: Client Reporting Best Practice

labelThere are serious issues with the current client reporting framework. Clients are dissatisfied with the reports that are produced for traditional long-only investment strategies and managers face significant challenges reducing the gap between client expectations and reporting practices.

The situation has worsened over the past five years; there are two main reasons for this:

  • Firstly, the rapid growth in product innovation has resulted in the divergence of investment strategy from client reporting.
  • Secondly, the client perception of reports has shifted, particularly in the case of pension funds; more people are more interested in more detail than used to be the case. Paradoxically, the move towards specialist mandates has left pension fund trustees with less time to read reports. For these reasons, the role that client reporting plays in client relationships is changing.

There is no reason to believe this situation will improve.

Research Insights

To future-proof a client servicing strategy, it is therefore necessary for managers to implement best practice for report production as well as for report content. More than ever before, it is important for managers to adopt an integrated business strategy for client reporting; those who do not are likely to find themselves on the wrong track for some time to come.

This essential piece of reading, details the steps investment managers can take to get them back onto the right path, and provides a best practice framework which will align client reporting with client expectations for reporting on traditional investment strategies, on new strategies and on OTC derivatives.

Contact: Jackie Alvarez

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Contents

Related reports

Management Summary
1.0 Introduction
2.0 An Overview of Client Reporting
3.0 The Development of Client Reporting
4.0 Market Practice in Client Reporting
5.0 Best Practice in Client Reporting
6.0 Supporting New Investment Strategies and OTCs