How to monitor and evaluate your investment manager

As we explore the process of selecting investment managers, it's important to understand that manager selection is only the first step in the broader investment management process.

- Marisa Reinach

Once a manager is chosen, continuous monitoring is necessary to ensure they remain aligned with the investor's objectives and perform as expected.

This article focuses on the ongoing evaluation of investment managers and the importance of robust due diligence in safeguarding your interests.

The importance of monitoring Hiring an investment manager is not a once-off task; it is the beginning of an ongoing relationship that requires regular review and scrutiny.

As financial markets and economic conditions evolve, so too must the strategies employed by investment managers.

Regular monitoring of these strategies helps ensure that the manager continues to deliver on the investor's objectives.

One common issue that arises over time is return dilution.

This occurs when a manager, particularly one with a strong track record, experiences significant growth in their assets under management (AuM).