Generation of Quality Marketing Material through Better Performance Analysis
The Problem:
An Asian asset management company was performing very well, but was unable to add to AUM growth. It needed strong marketing material to attract Western investors. However, the internal team did not have the capability to produce higher-level analytics, which was required for sophisticated investors from developed markets.
Aranca's Solution:
Aranca’s team supported the client’s team in collecting all the relevant information (available internally) on the funds’ performance. This included NAV details, the churn in the portfolio, and holding information. Aranca’s team collected historical data on the benchmark index, relevant macroeconomic variables and stock market data. A comparison was made between the fund’s performance measures and the benchmark at various levels. Details such as Brinson attribution, Fama decomposition, M2 analysis, drawdowns, and performance during upward and downward movement of markets were analyzed and presented. Moreover, the comparative standing of the specific economy and markets was presented.
Client Benefit:
The client received high-quality marketing material, required for investors from developed markets. Moreover, the client received a ready speaker note for roadshows. The client was able to raise additional funds in a cost-effective manner.