The fund management sectors actively recruiting
Fund management recruiter, Mischa Bennett, has shared with Money Management the four areas where fund managers are actively hiring.
Bennett is the managing director of recruitment firm Capital Executive Search, and recently appeared on the Relative Return podcast to discuss hiring practices in the field of fund management.
Acknowledging it is becoming harder to work in the active management space as funds compete with passive funds, Bennett said active fund managers can sometimes find it difficult to scale up their businesses to the desired size.
“It’s getting tougher and you need to be smart about where you put your efforts. I wouldn’t say there’s a race to the bottom on fees because the active managers who have proved their worth are able to keep their fees where they are, but there is fee pressure elsewhere which is reducing the ability to pay competitively."
Nevertheless there are four areas where firms are actively seeking candidates, he said.
Private credit
“A lot of banks are stepping away; they feel things are too frothy, especially in real estate, so these funds are coming to fill that gap. So we’re seeing a lot more interest in fixed income and growth there on the side.”
Money Management recently covered how multiple asset managers are embarking on M&A deals to enter this space given its popularity.
Funds associated with the energy transition
“Anything related to the energy transition is massive; that is absolutely mandated by the government. The government is starting to step in and fund certain areas, so you follow the money there, and that can be a very good strategy. It doesn’t matter if there is a recession, there is an absolute commitment to countries achieving those targets."
ESG and impact funds
“Impact and ESG funds are getting quite big, as well as the energy transition. There’s a focus on affordable and social housing too, particularly given what is happening around housing affordability and the lack of housing supply. I wouldn’t call it ‘big’ yet, but we’re seeing a lot of activity, and I suspect that will only grow to become a big area.”
Family offices
“Family offices are another area where we’re seeing a bit of activity. That’s people at the top who are just securing and furthering their wealth essentially. Some of those offices are getting quite sophisticated and in-housing some of their investment capabilities.”
Click here to listen to Mischa Bennett’s episode in Relative Return.
AUTHOR
Laura Dew
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