Many of our clients and prospective clients retain investment consultants to advise them on the selection and review of investment managers. We have extensive dealings with investment consultants both in the consultants’ role as adviser for their clients and in independent business relationships.
We provide consultants with information on portfolios they manage for mutual clients, pursuant to the clients’ directions. We also provide information on our investment styles to consultants, who use that information in connection with searches they conduct for their clients. We may also respond to Requests for Proposals in connection with those searches.
Other interactions we may have with consultants include the following:
- We may invite consultants to events or other entertainment hosted by our firm.
- In some cases, we serve as investment adviser for the proprietary accounts of consultants or their affiliates, or as adviser or subadviser for funds offered by consultants and/or their affiliates.
- We purchase software applications, access to databases, and other products or services from some consultants.
- We may pay for the opportunity to participate, along with other investment managers, in conferences organized by consultants. These conferences provide us with the opportunity to discuss a broad variety of business topics with consultants, clients, and prospective clients.
Upon request by individual clients, we may provide information regarding the existence of a relationship between our firm and that client’s consultant. In general, however, we rely on the consultant to make the appropriate disclosure to its clients of any conflict that the consultant may believe to exist due to its business relationship with our firm.