Brand awareness is not just important for sodas, stores and celebrities. Even in the world of institutional investment management, a strong brand can have big benefits.
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Q2 hedge fund letters, conference, scoops etc
eVestment data shows that asset managers with both high firm and product awareness realize growth as much as 20.3 times that of firms with low awareness, but achieving those results can be difficult in the crowded global asset management environment. Only 2.0 percent of asset managers achieve the highest brand awareness, reaching a broad consultant audience and doing so across multiple products.
eVestment’s whitepaper “The Importance of Brand Awareness: Quantifying the Impact on Asset Manager Growth,” highlights how brand awareness can impact exposure and growth for an asset management firm and highlights the firms in eVestment’s database with the highest brand awareness based on the paper’s review methodology.
Some interesting points from the study include:
- Firms with higher brand awareness experience larger institutional flows the following quarter. Firms with the highest brand awareness average flows a significant 20.3 times larger than firms with the lowest brand awareness scores.
- Investment consultants utilizing the eVestment database review 68 distinct products each quarter spread out across many firms.
- High brand awareness can be a double-edged sword as negative effects can be as much as 1.7 times stronger than positive impact.
- The ability of large managers to leverage their brand is only marginally better than their smaller counterparts
We have listed the Top 10 asset managers we found that ended Q2 2018 with the highest product and firm awareness – as well as changes in position from the prior year. This list is now updated quarterly. If your firm did not make the Top 10 and you would like to know your ranking, we would be happy to share that data.
Article by eVestment
