SimCorp StrategyLab publishes “Growth and value creation in asset management”
“Growth and value creation in asset management” is a new 223-page book published by SimCorp StrategyLab, with contributions by a wide range of senior practitioners from prominent financial institutions and senior scholars from world-leading business schools and universities. The book addresses the challenges faced by asset managers in the aftermath of the worst financial crisis since the Great Depression, focusing primarily on offering relevant and possibly new approaches, insights and conclusions drawn from recent and ongoing research in the industry exploring the question: “How can investment managers win in the new normal?”. While the most turbulent period in modern financial history has forced the entire investment management industry to focus not only on risk and governance, but also on developing new and more careful disciplines around costs, the industry is now looking towards a return to growth. The question is, however, will it be back to business as usual? This book argues that growth will not return by default if it is to be sustainable and profitable. And sustainable growth and value creation can only be based on a sound control of costs and risks. “Growth and value creation in asset management” is an anthology reflecting experience, research and thought leadership from experts, specialists and practitioners from various disciplines including finance, economics, mathematics, risk, governance, compliance, IT and regulation, among others. Featured expert contributors The 11 chapters in total include the works of: • Paul Verdin, Ph.D. and professor, Solvay Business School and KULeuven • Ingo Walter, professor at Stern School of Business, New York University, INSEAD and director of SimCorp StrategyLab • Massimo Massa, professor at INSEAD • Karel Lannoo, chief executive at Centre for European Policy Studies (CEPS) • Adam Schneider, principal at Deloitte Consulting LPP • Alistair Byrne, principal at Investit • Pascal Wanner, chief business consultant at SimCorp • Jacob Elsborg, head of technology at ATP • Mathias Schmit, Ph.D and professor, Solvay Business School • Lin-Say Chao, master in finance, Solvay Business School The first part of the book presents an overview of the structure, regulation and business models in asset management, among many other things arguing that the asset management industry is likely to be one of the largest and most dynamic parts of the global financial services sector, and then explains why it is likely to resume its long-term growth after the impact of the recent crisis. It goes on to compare the mutual fund industry to the not so enviable car industry, arguing that the mutual fund industry is doing a lot worse than the automotive sector - or, depending on how you look at it, much better, as it continues to be able to make money from ‘selling cars without an engine'. Then, opportunities and strategies for growth in the new financial environment are discussed in the second part of the book. As the rules of the game have changed, the focus must now be on creating true value through client orientation and innovation in better, more transparent, more reliable and better-performing products, and by streamlining your organisation and processes. A strategically and business-driven IT architecture is thus critical, and the book goes on to highlight how strategic IT can and should be about securing and supporting growth going forward. The book finally looks at growth and value creation from a strategic perspective, arguing that although we can learn from the past, we must carefully consider today's challenges so that our strategies are rooted in the present. Growth itself is not a strategy, it is the result of a good strategy - a strategy that focuses on sustained value delivery to clients and appropriate ways to share that value fairly and sustainably with the client for the benefit of management, employees and shareholders. The link between growth and value creation therefore seems essential. “Growth and value creation in asset management” is the third and final volume in a series on the topics of risk, cost and growth, published by SimCorp StrategyLab, resulting from its research programmes within the investment management industry. The book is available from amazon.com. - - - Enquiries regarding this announcement should be addressed to: Lars Falkenberg, Assistant Director, SimCorp StrategyLab (+45 35 44 88 00/+45 26 30 01 27) - - - SimCorp StrategyLab SimCorp StrategyLab is a private research institution, headed by Mr Ingo Walter, Seymour Milstein Professor of Finance, Corporate Governance and Ethics at Stern School of Business, New York University. SimCorp StrategyLab's research work focuses on identifying, understanding and suggesting solutions to issues pertaining to mitigating risk, reducing cost and enabling growth in the investment management industry. www.simcorpstrategylab.com