How asset managers can show leadership in volatile markets

Volatility is an inevitable feature of financial markets. Yet, during times of uncertainty, many fund managers instinctively reduce or pause their marketing activity. This is often driven by a combination of internal cost pressures, risk aversion and a desire to "wait it out" until calmer conditions return. The seeming short-term ‘gain’ can have a long-term impact, which this article will explore.

Decades of behavioural finance research, marketing science and real-world market outcomes suggest a ‘back seat’ approach can be shortsighted.

In fact, it is precisely in periods of market turbulence that brand visibility, consistent communication and investor reassurance become most valuable. This article explores why maintaining a presence during volatility matters, not just to preserve brand equity, but to build trust, shape investor confidence and position a fund manager for future growth.

Market volatility and investor behaviour

In volatile markets, investor sentiment tends to swing between fear and overreaction. Concepts such as loss aversion, availability bias and herd behaviour drive suboptimal decisions, from panic selling to sudden shifts into cash or low-risk assets.

A 2020 study by Morningstar found that investors who frequently moved in and out of the market during periods of high volatility saw lower long-term returns than those who stayed invested and present. Yet, many of these decisions were influenced more by emotion than fundamentals, a space where fund managers have an opportunity to provide clarity and stability.

These behavioural biases are deeply rooted. The availability bias leads investors to overweigh recent events, especially dramatic downturns. Herd behaviour kicks in when individuals follow the crowd, reinforcing market trends rather than acting on independent analysis. Loss aversion, famously studied by Daniel Kahneman and Amos Tversky, highlights how the pain of losses is felt more intensely than the pleasure of equivalent gains. Together, these tendencies magnify volatility and create a demand for calm, consistent guidance.

The flight to familiarity

Research from Edelman’s Trust Barometer shows that during times of crisis, people seek information from sources they perceive as consistent, competent and credible. Fund managers who disappear from view risk eroding the trust they have built with clients, while those who maintain visibility can become go-to voices of reason and, in turn, are top of mind.

Moreover, the concept of the "mere exposure effect", where repeated exposure to a brand increases favourability, means that sustained presence, even in a non-promotional way, supports long-term trust.

The Edelman report further notes that financial services is a sector where trust must be earned and re-earned continually. This is particularly relevant in uncertain environments, where silence can be misinterpreted as disengagement or weakness. Familiarity creates psychological comfort, and in a noisy environment, even subtle reminders of a manager’s presence can foster confidence.

Why staying present pays off

In categories like asset management where differentiation is often difficult and decision-making is high-stakes, brand salience plays a key role. According to the Ehrenberg-Bass Institute, brands that come to mind more easily are more likely to be chosen. This principle applies even in B2B finance.

The Financial Services Forum notes that decision-makers at institutions and advisers alike are influenced by brand recall, particularly when shortlisting asset managers. Disappearing from their view during volatile periods weakens that salience.

Brand salience does not just influence initial consideration, it shapes trust in times of ambiguity. When performance between managers appears broadly comparable, those with the strongest presence and perceived competence are more likely to be chosen. That salience must be nurtured through consistent, meaningful engagement.

Evidence from past crises

Several studies have shown that brands that continue advertising through economic downturns tend to recover faster and gain long-term market share. For example:

• A McGraw-Hill study tracking 600 companies from 1980 to 1985 found that those who maintained or increased advertising during the 1981–82 recession saw significantly higher sales growth than those who cut back.
• During the 2008 financial crisis, companies that preserved marketing spend recovered more quickly in both revenue and share price.

While these studies focus broadly on consumer brands, the principles translate: consistent presence signals strength, stability and long-term thinking.

A 2021 LinkedIn B2B Institute report further reinforced this idea, noting that share of voice is a leading indicator of future market share, especially when it is maintained during downturns.

What “presence” really means

“Staying present” doesn’t mean pushing out product messages indiscriminately. In fact, tone and content are more important than ever in periods of stress. It is important to acknowledge the current conditions and not shy away during those times.

Fund managers can show presence in a number of ways, some might include:

• Thoughtful market commentary
• CIO perspectives and scenario analysis
• Educational content explaining key risks and portfolio positioning
• Clear updates on fund performance and philosophy
• Webinars, virtual events and client forums
• Articles and opinion pieces published in credible media outlets

In a market where we see ‘investment philosophy’ as one of the core factors that advisers consider in the fund selection process, tough times present an opportunity for fund managers to clearly communicate their philosophy.

The emphasis should be on helping clients interpret complexity, not selling products.

In times of stress, investors want to understand your process, not just your positioning. A firm that explains how it adapts risk management to changing conditions, or transparently discusses sector tilts, earns trust. Data-backed, jargon-free explanations, especially in visual formats, can be highly effective.

Infographic executions in this instance can be highly effective and help fund managers to convey a lot of information in a digestible, clear and concise way. Having something that is interactive can help to drive further engagement and can often be used as an aid for advisers to use with their clients, while being a simple way to covey the principles to an end investor.

Empathy and authenticity matter

A study by Harvard Business Review found that brand communication that acknowledges uncertainty while offering calm guidance is more likely to foster loyalty. Audiences do not expect fund managers to predict the future; they expect them to offer informed perspectives and consistent contact.

Leaders who use a human tone, admitting uncertainty while explaining how they are responding come across as more trustworthy. In asset management, this can include walking clients through how stress scenarios are modelled or how portfolio construction adapts under volatility.

Empathetic communication can take many forms: CIO letters, video messages from lead PMs or content that breaks down complex developments into relatable insights. When delivered with authenticity, these messages can feel more like partnerships than broadcasts.

What happens when you go quiet

Marketing science has long understood the risks of brand silence. The Ehrenberg-Bass Institute notes that brand equity decays over time if not actively maintained. In asset management, this decay can be faster due to the proliferation of competitors and product churn.

Without continued presence, fund buyers may:

• Forget a manager’s proposition
• Perceive silence as instability or retreat
• Shift attention to louder competitors

In some cases, silence can even lead to misinterpretation of risk exposure or underperformance, particularly if peers are more vocal in owning the narrative. This can have a huge impact over the long term for managers who do not keep a presence during those times.

History shows that capital markets eventually recover, but brands that paused marketing often find it harder to re-enter the conversation. They have lost share of voice, media muscle memory and sometimes even internal alignment. The cost of reactivation can outweigh the cost of modest consistency.

Rebuilding trust or recapturing attention is a steeper climb once clients have mentally moved on to others.

There is also a reputational cost. Clients may wonder why a manager went silent and what that says about the resilience or transparency of their operation.

Strategic guidelines for maintaining presence

1. Tailor messaging to the moment

Messaging should match the market mood. During volatility:

• Emphasise stability and experience
• Offer long-term perspective
• Avoid aggressive performance claims
• Use simple, transparent language

Empathetic messaging should balance realism with optimism. Language should be forward-looking without appearing overly confident.

2. Use owned and earned channels smartly

When budgets are tight, focus on content platforms that already reach your audience:

• Email newsletters
• Webinars or virtual briefings
• LinkedIn or financial trade media
• Media partnerships with credibility

Also consider low-cost, high-trust tactics such as:

• Executive op-eds in financial publications
• Podcast guest appearances
• Interactive tools like volatility trackers or investment FAQs

Owned and earned media also have the advantage of allowing deeper storytelling, not just soundbites. That nuance is often key in complex markets.

3. Segment your audience

Different investor types have different information needs in crisis:

• Institutional allocators may want macro context and liquidity analysis
• Advisers may need client-friendly content and reassurance materials
• End investors may need basic education and clear signalling

Moreover, the level of jargon/complexity would differ depending on who you are speaking to.

A tailored communication strategy increases the effectiveness of each message, building trust more efficiently. It is crucial for asset managers to consider who they are speaking to and tailor the content/format of this information as required to ensure it is appropriate and easy to understand.

The long-term branding effect

Brand equity compounds. Fund managers who remain visible during tough times are more likely to be remembered favourably when conditions improve. This can translate into a first-mover advantage when investors reallocate capital.

A visible presence through multiple channels reinforces credibility and reduces friction when it is time for re-engagement.

Marketing during volatility is not just about defence, it is a proactive play for growth. While competitors retreat, those who sustain smart messaging can outpace peers in brand perception and client acquisition.

According to Kantar’s “Winning in the Recession” report, brands that maintained presence during downturns were perceived as more reliable, leading to increased loyalty and consideration scores. The consequence of this is significant for the long term.

Consistency also reinforces brand positioning, a key factor in B2B sectors where product differentiation is minimal.

A consistent drumbeat of thoughtful communication signals that the firm understands the full investment cycle, not just the upside.

Applying these lessons to today’s market environment

The principles of leadership in uncertainty are especially relevant in 2025, where markets remain characterised by geopolitical risk, central bank ambiguity and concentration in high-growth sectors.

The need for visible, credible leadership will only become more important in the years ahead. As we look to the future, several drivers suggest that market uncertainty is not an anomaly, but a recurring feature:

• Climate and sustainability challenges will disrupt sectors and valuations in unpredictable ways.
• Technological innovation and regulation, particularly around AI and data privacy, will introduce new risks and opportunities.
• Geopolitical fragmentation could lead to supply chain shocks, capital flow disruptions or new inflationary pressures.
• Demographic shifts, including ageing populations and intergenerational wealth transfer, will reshape investor needs and preferences.

Each of these forces will generate volatility but also demand clear-eyed leadership. Fund managers must prepare to show up, not just when markets demand answers, but when clients need perspective and are seeking guidance and thought leadership.

The playbook does not change: communicate with confidence, educate without condescension and remain consistent in voice and values. Those who embed this approach today will be the trusted voices of tomorrow.

In the future, as in the past, trust will belong to those who stay visible and stay true, when it matters most. Only those that keep a consistent presence will maintain enduring trust.

When we think about applying this to the current market, some of the ways that fund managers might address this could include:

1. Address the known unknowns

Advisers and investors today are seeking guidance on inflation’s trajectory, U.S.–China trade tensions and AI-driven valuations. Fund managers should offer clarity, not certainty, by acknowledging multiple scenarios.

Action: Publish content such as Macroeconomic Scenarios for 2025 and explain how your firm is positioning for them.

2. Show leadership on structural themes

Periods of short-term market noise are ideal for reinforcing long-term convictions. Whether it is clean energy, healthcare innovation or digital infrastructure, fund managers should spotlight their thematic expertise.

Action: Host virtual roundtables or publish thematic thought pieces linking volatility to long-term opportunity.

3. Maintain a calm, credible tone

In a time of narrative saturation, a rational and evidence-based voice cuts through. Investors aren’t looking for hype, they are looking for clarity.

Action: Use plain language in investor briefings, avoid jargon and ground commentary in process and data.

4. Support client conversations

Advisers need help managing client fear and uncertainty. Give them the tools to succeed.

Action: Provide “volatility explainer” kits with visuals, FAQs and summary talking points.

5. Reinforce long-term positioning

Even amid short-term pressure, it’s essential to signal that your firm is playing a long game.

Action: Create campaigns around endurance, discipline, and historical market recoveries, not just quarterly returns.

In 2025, markets may not feel stable, but fund managers who remain present, measured and educational will not only preserve trust, but they will also grow it.

Conclusion

Volatile markets are not a time to go silent, they are a time to show up and lead. For asset managers, maintaining a visible, credible presence during uncertainty can deepen trust, build long-term brand equity and set the stage for growth when markets stabilise.

Presence is not about shouting; it’s about showing up. And in financial services, as in life, the ones who show up during the hard times are the ones people remember.

The market may be unpredictable, but the value of consistency in leadership, communication and trust is enduring and for those that do, the long-term benefits are significant.