Towers Watson investment head: Fund managers deserve higher pay

clock

Asset managers deserve to be paid up to a third of the alpha they generate, Towers Watson's EMEA head of investment has suggested.

Ed Francis (pictured) believes asset managers should potentially be paid more than they are currently for their skills, in recognition of the benefit they can provide to clients. Should fees settle at too low a level, fund managers will be forced to run too much money in order to benefit from economies of scale, he warned. In an interview with Professional Adviser's sister magazine Professional Pensions, he said: “If I am a skilled active manager, I should expect to get paid for that skill as there is a benefit to my clients from it. How much should I get paid? Well, I should get paid...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Darius McDermott: Old demographics, new innovations — so why isn't healthcare booming?

Darius McDermott: Old demographics, new innovations — so why isn't healthcare booming?

'The sector should be flying — but it isn't'

Darius McDermott
clock 08 May 2025 • 5 min read
Why China's journey to net zero demands investors' attention

Why China's journey to net zero demands investors' attention

China's journey towards net zero could yet prove more rapid than expected

Gabriel Sacks
clock 07 May 2025 • 4 min read
Morningstar CEO: Advisers and industry need 'shared language' around risk

Morningstar CEO: Advisers and industry need 'shared language' around risk

Kapoor points to UK regulation becoming more ‘goals focused’

Sahar Nazir
clock 07 May 2025 • 2 min read