Multi-managers find success in boutiques

The themes for running a successful multi-manager portfolio in 2004 were threefold, according to funds of fund managers. Firstly, find the hot boutiques; secondly, go small/mid cap; and finally, invest in the low-correlated asset classes like commodities. Robert Burdett, joint head of multi-manager services at Credit Suisse, says: "Boutiques have performed well because they are more flexible than the big investment houses. Smaller boutiques do not invest in an index and managers that are running them have higher incentives than others. A performance fee is usually offered and funds are b...