There is a cumulative effect of fee pressure, a shift to passive investments, and concentration of success in gathering assets is driving many firms to continue to take bolder actions to find growth, operate efficiently, and engage customers. Investment in technology and data management will need to be maintained or increased to maximise distribution opportunities and to cope with regulation and reporting.
There is also increased demand for climate and sustainability expertise. The focus continues to be on designing unique and innovative products and funds, along with adopting new fintech solutions whilst continuing expansion regionally to gain further market share.
Technology will become mission critical to drive customer engagement, data mining for information on clients and potential clients, operational efficiency and regulatory and tax reporting. In 2020 most global asset managers will need a chief digital officer (CDO) and will see a rise in the need for robust cyber security and risk teams as well as technology.