What have DFMs ever given us?

The growth of DFM-style management is a triumph for the idea investment solutions should focus on client needs.

When markets crashed in 2008, it was a reminder that client needs do not move in line with global markets. As an industry, we judged ourselves against the markets or each other, with client needs sometimes appearing to be a distant third in our considerations. I recall one fund manager complaining about a DFM winning clients with performance that was allegedly rather worse than his fund. In doing so, he entirely missed the point his (UK equity) fund was not a suitable solution for a fairly conservative client. With the continued turbulence in world markets, the industry needs investme...