By Carl Delfeld of iGlobalStrategist.com
Contrary to the conventional wisdom that a global strategist is a cost center, a global strategist can without question add substantial value (and profit) to an advisory firm’s bottom line.
The key question is of course what role does the global strategist play? Here are some ways that a global strategist can become indispensable rather than unnecessary.
First, a global strategist should lead the top down global asset allocation process thereby driving the building of client portfolios. Portfolio managers can then customize client portfolios by making adjustments to the core model(s). For firms without a Chief Investment Officer, the global strategist should be making the macro calls that, in turn, will drive performance numbers.
And if the global strategist is ETF savvy, one could argue that the position could replace several stock analysts further adding to the firm’s profitability. A top down macro approach fits hand and glove with ETFs as the core investment tool. Furthermore, as sector investing grows in importance with globalization, advisors will need to put a higher priority on global sector investing strategies using ETFs.
Second, a good global strategist should supply a steady stream of global market intelligence to be used by client prospectors and portfolio managers who normally don’t have the time nor the background to stay on top of fast moving markets as well as identify promising economic trends.
Third, a top global strategist can raise the profile of even a smaller advisory firm by publishing articles and conducting media interviews that attract attention, build a brand and send a clear and interesting message to potential partners and clients.
Fourth, bringing in new clients and assets is the lifeblood of an advisory firm and a global strategist can play a key role in terms of one on one client meetings, speaking at prospecting events as well as targeted investment conferences.
To sum up, a global strategist can easily fill the shoes of the chief investment officer, ETF analyst and chief spokesman and marketing officer. Still, for investment advisory boutiques, having a global strategist aboard, even with this expanded role, may still seem too expensive.
No need to worry, there is www.iGlobalStrategist.com . It offers many of these advisory services for only a fraction of the salary of a top-flight full time global strategist. iGlobalStrategist works a little like Net Jets where you have access to quality service without putting an aircraft or strategist on your balance sheet.
So the next time you hear a competitor comment that a global strategist is a cost center they cannot afford, just smile and say to yourself three times: profit center, profit center, profit center.
Contrary to the conventional wisdom that a global strategist is a cost center, a global strategist can without question add substantial value (and profit) to an advisory firm’s bottom line.
The key question is of course what role does the global strategist play? Here are some ways that a global strategist can become indispensable rather than unnecessary.
First, a global strategist should lead the top down global asset allocation process thereby driving the building of client portfolios. Portfolio managers can then customize client portfolios by making adjustments to the core model(s). For firms without a Chief Investment Officer, the global strategist should be making the macro calls that, in turn, will drive performance numbers.
And if the global strategist is ETF savvy, one could argue that the position could replace several stock analysts further adding to the firm’s profitability. A top down macro approach fits hand and glove with ETFs as the core investment tool. Furthermore, as sector investing grows in importance with globalization, advisors will need to put a higher priority on global sector investing strategies using ETFs.
Second, a good global strategist should supply a steady stream of global market intelligence to be used by client prospectors and portfolio managers who normally don’t have the time nor the background to stay on top of fast moving markets as well as identify promising economic trends.
Third, a top global strategist can raise the profile of even a smaller advisory firm by publishing articles and conducting media interviews that attract attention, build a brand and send a clear and interesting message to potential partners and clients.
Fourth, bringing in new clients and assets is the lifeblood of an advisory firm and a global strategist can play a key role in terms of one on one client meetings, speaking at prospecting events as well as targeted investment conferences.
To sum up, a global strategist can easily fill the shoes of the chief investment officer, ETF analyst and chief spokesman and marketing officer. Still, for investment advisory boutiques, having a global strategist aboard, even with this expanded role, may still seem too expensive.
No need to worry, there is www.iGlobalStrategist.com . It offers many of these advisory services for only a fraction of the salary of a top-flight full time global strategist. iGlobalStrategist works a little like Net Jets where you have access to quality service without putting an aircraft or strategist on your balance sheet.
So the next time you hear a competitor comment that a global strategist is a cost center they cannot afford, just smile and say to yourself three times: profit center, profit center, profit center.
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