Active management leads allocation outlook for intermediaries in Spain

Allocation decisions also depend on the asset class involved. Global equities have the strongest outlook of any asset class in Aureum Y’s research, with 54% of intermediaries planning to increase exposure against 5% planning to decrease. Spanish equities see little net change, and real estate shows the steepest net pullback.

Once intermediaries in Spain decide where to allocate, the next question is which asset managers they know well enough to consider. Aureum Y asked intermediaries to rate their familiarity with a predefined list of asset managers, and then how likely they are to increase use of each manager’s funds over the next 12 months.

Brand familiarity carries weight beyond name recognition. The research shows that it correlates with propensity to buy, the likelihood of increasing allocations to a manager’s funds. On average, 54% of intermediaries are quite or very likely to increase their use of the 10 most familiar managers, compared with 21% for the 10 least familiar.

Brand familiarity opens the door for managers, but how do intermediaries then select specific funds? Aureum Y asked intermediaries to rank the three most important factors when choosing between two funds investing in the same asset class and with very similar track records. Although cost is the most-cited factor, named by 60% of Spanish intermediaries, it’s far from the only selection priority. Non-monetary criteria are also important, with investment philosophy at 53% and transparency taking third place.

Having chosen funds, intermediaries form a view of the asset managers they work with. Aureum Y’s research for Spain shows satisfaction is high, with 83% describing themselves as “very” or “quite” satisfied. Ratings vary across support categories, however. Insights and thought leadership received the lowest share of “good” or “excellent” ratings, at 48%.

The clearest guide to what stronger insight looks like is intermediaries’ own words. Asked what asset managers can do to support them in times of uncertainty, respondents to our survey describe consistent needs. These include proactive, frequent and transparent communication, clear explanations of positioning and why decisions are made, and quick access to managers and specialists. Respondents also ask for scenario analysis and simple, client-ready material that helps them reassure clients.

This article covers an overview of the data on how intermediaries in Spain are positioning for the year ahead, how they choose funds, and how familiar they are with asset manager brands. Aureum Y’s Global Brand Survey Report for Spain, publishing later this year, goes much further. It measures metrics such as unprompted brand recall and shows how each plays out for every individual asset management firm in the market. If you work in marketing at an asset management firm operating in Spain, the report shows exactly where your brand stands.