Fund selectors in Benelux are planning to increase allocations to foreign and domestic equities, as well as commodities, at the expense of real estate and cash/deposits exposure in 2012.
Key man risk is an important issue for Benelux fund selectors with 82% saying a key manager departure would trigger an extraordinary review, despite 80% saying they would only formally review each manager every 12 months.
Socially responsible investment (SRI) came low on the selectors’ list of priorities with a mere 7% considering it important. Another 22% said it was not important at all. Manager expertise is considered more valuable with 36% saying this was very important and just 7% saying it wasn’t important at all.
Value for money is another concern for selectors, with a clear discrepancy emerging between what fund selectors seek in terms of value for money and the value for money offered by the fund managers whose products they distribute.
While 29% of respondents said value for money was very important when selecting managers, only 20% thought the products they distributed for third party managers offered top value for money.