Most institutional investors outsource at least part of their asset management to external managers. To realize their investment objectives and be in control of all relevant risks. A thorough process to select, monitor and evaluate external managers is of vital importance. After completing this module you know the critical steps in the selection process, you know how to evaluate Requests for Proposal (RFPs) of the managers and you will be able to design a dashboard which enables you to proactively monitor the performance and risks of the external managers.
The manager selection process is embedded in the overall investment process of the organization. Therefore it is critical to have a firm understanding of the investor’s strategic objectives, its investment beliefs, its ESG policy and its internal and external governance policy. From that you can start building the manager selection process, which involves at least the following steps: construction of a long list, development of a Request for Proposal (RFP), evaluation of the RFP, visiting the managers on the short list, the operational and legal due diligence and the final decision making. Participant will train the required skills for the manager selection process by working on a real life case study. You will also build your own dashboard to monitor the external managers, which enables you to stay in control after the managers have been selected.
- The design of a manager selection process, and its link to the investor’s investment objectives, investment beliefs, its ESG policy and governance structure
- Application of the different steps of the manager selection process by using a real-life case study
- The specifics of the manager selection process for managers in private markets (private equity and private debt)
- Design of a dashboard to effectively monitor and evaluate managers that have been selected
Separate modules RBA Program
More information about the other modules:
Module 1: Understanding clients and behaviors
Module 2: Regulatory dynamics and practical implications
Module 3: Advanced asset allocation
Module 4: Balance sheet management
All available information that is also relevant and applicable to taking a separate module can be found on the page of the RBA program.