Time to jump off the merry-go-round

The constant search for the next-best fund, the cult of the star manager and the disproportionate use of performance as a way of selling funds have underpinned the UK asset management industry over the past 20 years. But as current market conditions highlight potential flaws in this approach, surely now is the ideal time to rethink the whole process. HSBC'S Andy Clark outlines his views on improving the adviser-asset manager relationship

Is the UK fund industry a victim of its own success? While some would argue success is a moot point as, despite penetration of the UK's retail asset management industry still being well below the US, there is little doubt the UK's appetite for funds has grown over the last 20 years. However, Andy Clark, managing director of wholesale, HSBC Global Asset Management, believes this growth has not been built on very solid foundations. "One of the saddest things is that nothing has really changed over the last 20 years in terms of investors' attitudes. Our part of the industry is to blame t...