Insights and perspectives from industry experts

The FCA is shifting towards outcomes-based supervision with less prescriptive oversight of Assessment of Value reporting. Asset managers can expect greater flexibility in demonstrating value to consumers, with potential integration into new Consumer Composite Investment proposals and increased use of artificial intelligence.

Active asset managers must adapt to survive mounting pressure from passive funds, which attracted €307.6 billion in 2024 versus €150.5 billion for active funds. Success requires clearly defined value propositions beyond performance, including differentiated returns, volatility management, and concentrated portfolios.

Technology facilitates but cannot replace human interaction in building relationships. In asset management, combining CRM systems with personal engagement creates a powerful approach to sales and client service, enabling firms to achieve better results with fewer resources while capturing crucial non-verbal communication cues.