SERVICES

Specialist Fund Manager Research Projects including Asset Allocation

 

The primary business of Douglas Funds Consulting Pty Ltd provides specialist advice on the qualities of fund managers’ capabilities and products (funds and mandates) across all traditional asset classes (specifically; domestic and global equities, cash and fixed interest, listed property and infrastructure and others as they develop) and most alternative asset classes (particularly, fixed interest related).

 

Clients may be seeking an independent opinion in the following situations, for example:

 

  • Second opinion on a fund manager rating by a retail rating house

  • Differentiation of fund manager ratings (often too many managers are rated the

         same)

  • Assessment of a fund manager’s capabilities in an acquisition

  • Assessment of a fund manager for third party distribution in Australia.

  • Design of an efficient and rigorous fund manager and ETF research process for a dealer group or institution.

 

The fund analysis undertaken by Douglas Funds consulting is fully integrated, incorporating both ‘top-down’ or macroeconomic factors with ‘bottom-up’ manager specific factors. This can include asset allocation analysis. Manager assessments also take account of their relevant peer group.

 

This assessment is undertaken using a proven research process which has been used by the firm’s Principal across retail, high net worth and institutional market segments.

 

In essence, the process assesses criteria for each fund manager’s strategy relating to:

 

  • Business

  • People

  • Process

  • Product characteristics or Mandate suitability (where appropriate).

 

Quantitative analysis is utilised throughout the analysis to check considerations such as whether performance is consistent with manager’s stated style, objectives and investment philosophy.

 

Experience has shown that this process can be applied successfully to index, smart beta/fundamental index, active and hedge funds.

 

Operational due diligence is also incorporated in the analysis but it is recommended that another provider supply this service to clients.

 

The output provided to clients is a detailed report with recommendations. This is supplemented with a meeting where a presentation on the report is given and clients can ask questions.