RESHAPING RETAIL FUND DISTRIBUTION

PwC

In June 2011, CACEIS and PwC published the report “Rethinking distribution – Creating competitive advantage in a new fund distribution paradigm”in which we identified six key drivers of change that would cause significant disruptions within the asset management industry and suggested a strategic reconsideration of distribution practices. In a few short years, the impact of these disruptions on the industry has intensified and now calls for action. The pace of change in the asset management industry is being accelerated by the latest regulatory agenda, a profound shift in the investor base, and recent technological developments. Because these agents are likely to have an unsettling effect on fund distribution, industry players need to adopt new product strategies and distribution tactics to achieve positive results. This report aims to set the stage for discussion on the future of the retail distribution environment, providing a roadmap to those players who are looking for a winning strategic response to the challenges created by this new dynamic environment. It is based on analysis of the drivers behind these monumental shifts and qualitative interviews with key players operating in countries where the new regulatory playfield has already been altered.

In the midst of monumental change, the outlook of funds is favourable as assets are growing and opportunities abound. But it’s time for action; standing still is not a sustainable strategy.

Olivier Carré Partner, Regulatory & Compliance Advisory Leader

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