The wonderful thing about South Africans of all shapes and hues is that they have an opinion on everything. This extends from rugby to free tertiary education to the relative advantages of selecting a large or small asset manager.
While South Africa’s large asset managers manage the vast majority of funds under management, small fund managers are very much on the up.
Over the last two to three years, funds managed by smaller fund managers – from general equity to multi-asset high equity to flexible funds – have been consistent stand out performers, according to research from the Association for Savings and Investment South Africa (Asisa) and Morningstar.
Unsurprisingly when it comes to selecting a manager – large or small – the reality is that large and boutique asset managers have their pros and cons. What are they? On Wednesday November 4 at 1pm, Moneyweb will host a webinar in which we ask: ‘Does size really count?’ The webinar is sponsored by Autus Wealth Care Specialists.
Smaller fund managers are positioning themselves as more nimble than the big players in the market; by implication this suggests they are better placed to generate returns. Is this the case? Investors, even those who stick with the big-reputation players, are beginning to ask the difficult questions.
What is the advantage of investing with a boutique asset manager? Does being smaller, flexible and more nimble give fund managers an advantage in the current volatility? It does seem that small managers are well positioned to play in the small-and mid-cap space and exploit off-benchmark positions. Is this the case? Are they cheaper? Should they be cheaper? Are they able to provide a full suite of offerings? What about offshore investments; it’s an area many South Africans are exploring at the moment.
And perhaps most importantly, what about repeatability? Can a manager who’s been successful in the past repeat his or her success? This should be asked about any manager large or small, but it has become especially topical for boutique managers – given the good track records some of them have built up.
Moneyweb journalist Hanna Barry, who will be joined by guests Willem de Vos of Autus Asset Management, Hlelo Giyose of First Avenue Investment Management
and Moneyweb deputy editor Sasha Planting, will host the discussion.
Moneyweb webinars give participants a unique opportunity to interact directly with the hosts and to have their questions answered in real-time. During the webinar, you will have the opportunity to submit your questions electronically and we will endeavour to answer as many of them as possible.