“Investor confidence is rattled.”
This might be the understatement of the century. Investors across the world are doing their best to assess the human cost (and associated economic damage) of the Coronavirus outbreak.
Many fund managers will be attempting to reassure investors during this period. So in this email, I want to share three ideas on how you can maintain good investor relations through this period. If you run a Managed Accounts programme, you can also use this advice with your client(s).
Idea 1: Prioritise Transparency & Honesty
When you communicate with your investors or clients, it’s important to share an honest assessment of the current situation. The Coronavirus pandemic will continue to manifest market uncertainty in the coming months. But this is also an opportunity to communicate your strategy, as effective fund managers and traders thrive on volatility. You should articulate your strategy for navigating this volatility in the months ahead.
Idea 2: Maintain Communication
Through any crisis, frequent communication is important. Commit to updating your investors or clients at least once a week. In addition, remind your investors/clients that they can reach out to you at any time with any questions or concerns. Fortunately, the vast majority of fund managers and traders already use remote tools, such as Skype or Slack, to communicate with their investors.
Idea 3: Provide Reassurances About Your Infrastructure
It’s likely that your business operations are now being carried out remotely. Reassure investors/client(s) that your remote setup is secure and fully functional. If you run a fund, you should also reassure your investors about the infrastructure of your partners (such as your fund administrator). Here at IFINA, our business operations are fully remote, which gives peace of mind to our fund managers.
Do you have an ambition to manage your investment fund? If you do, I’d love to talk about your career goals and whether IFINA can help you. Please just email me and we can arrange a convenient time to speak.