Schroders sees consolidation in multimanager market

Lee Freeman-Shor, Schroders' investment development manager of multimanager funds, says this is likely to happen as economies of scale and financial strength come into play to deal with heightened competition. Besides the ability, or lack of, to match pricing, Freeman-Shor says smaller players may not have the cash to allocate to new investment opportunities that come their way. Meanwhile, there is a trend towards panels of multimanager providers, with, typically , two or three main firms represented. Those not on the panels will not be able to get the business, Freeman-Shor says. ...