Our restrictions are a result of the need for due diligence. Given our size, we have deep pockets so we want to make sure we act prudently. To answer your question, restrictions are placed on us from the firm (#1) and sometimes by our clients. The only way we will perform our own security analysis is if the client directs us to look into an uncovered industry/security or the client has some legacy stocks in their account, otherwise, our platform is large enough to meet any investment objective. We have buyside analysts who cover a universe of securites and they are an excellent resource if we want to construct an individual security portfolio. We have one of the best, if not the best, PE and Alt Investment platforms of any firm…so yes, we agree that AIs are good for our clients.
payingmydues Wrote: ------------------------------------------------------- > I just got a position as a PWM PM and have > primarily worked with HNW the past several years. > It’s funny because a buddy of mine who is an > Institutional Investment Counsultant, are always > discussing how different the PWM world is vs. the > Institutional side, even when dealing with the > same goals and investments. > > Basically, with PWM you have to “dumb” it down > with regards to investment management. Focus is > less on the numbers but more on the relationship > management part (keeping the clients happy with > communication, service etc.) Institutional side > is all about the numbers. > > Regarding sales, it really depends on the culture > of the firm. Some firms expect PWM PM’s to sell, > other firms focus on retaining and servicing > existing clients. But I have noticed that more > Senior PM’s tend to have good sales skills and can > close well when presenting to new clients. Don’t > know if this is more of a function of the position > or the person. I too have a buddy who is in Institutional Invest Consulting who constantly compares the two. We don’t have the same buddy, do we?
I have not experienced sales pressure in the PNW firm at all. We let most of our clients be referrals of existing clients and our brokers with retail accounts too big to handle. We’re able to have a successful practice growing assets because we let the referral source get 50% of the fee we derived from that account for the first 4 quarterly billing cycle…that’s a huge carrot on the stick. Our firm’s focus is to retain that relationship so that we can continuously bill on the client. I totally disagree with the notion that “PNW is not intellectually stimulating.” My job entails researching and monitoring stocks. Client service will only get you so far, i like to see what type of “service” you have to provide if you underperform the market 5 years in a row in order to retain the account. Our firm’s track record has been stellar.
well said kevin. handholding only gets you so far. Somone has to hold the bag for performance at the end of the day or you will lose the client/fee.
kevin0118 Wrote: ------------------------------------------------------- > I have not experienced sales pressure in the PNW > firm at all. We let most of our clients be > referrals of existing clients and our brokers with > retail accounts too big to handle. We’re able to > have a successful practice growing assets because > we let the referral source get 50% of the fee we > derived from that account for the first 4 > quarterly billing cycle…that’s a huge carrot on > the stick. > > Our firm’s focus is to retain that relationship so > that we can continuously bill on the client. > > I totally disagree with the notion that “PNW is > not intellectually stimulating.” My job entails > researching and monitoring stocks. Client service > will only get you so far, i like to see what type > of “service” you have to provide if you > underperform the market 5 years in a row in order > to retain the account. Our firm’s track record > has been stellar. My view of the PNW is based on that found at the firm I work for. I can’t really speak for other firms or smaller firms. For those looking to get into this field, it’s probably a good idea to consider the size of the firm and the autonomy you will be given before accepting an offer. I can say this, however, I really don’t think you can add too much value in terms of primary security analysis when you are also responsible for meeting with clients, answering phone calls, writing monthly market updates, etc; there just aren’t enough hours in the day. The stock research is most likely done on a superficial level.
Oops, first sentence should read: My view of the PNW is based on the firm I work for.
bryant Wrote: ------------------------------------------------------- > kevin0118 Wrote: > -------------------------------------------------- > ----- > > I have not experienced sales pressure in the > PNW > > firm at all. We let most of our clients be > > referrals of existing clients and our brokers > with > > retail accounts too big to handle. We’re able > to > > have a successful practice growing assets > because > > we let the referral source get 50% of the fee > we > > derived from that account for the first 4 > > quarterly billing cycle…that’s a huge carrot > on > > the stick. > > > > Our firm’s focus is to retain that relationship > so > > that we can continuously bill on the client. > > > > I totally disagree with the notion that “PNW is > > not intellectually stimulating.” My job > entails > > researching and monitoring stocks. Client > service > > will only get you so far, i like to see what > type > > of “service” you have to provide if you > > underperform the market 5 years in a row in > order > > to retain the account. Our firm’s track record > > has been stellar. > > > > My view of the PNW is based on that found at the > firm I work for. I can’t really speak for other > firms or smaller firms. For those looking to get > into this field, it’s probably a good idea to > consider the size of the firm and the autonomy you > will be given before accepting an offer. > > I can say this, however, I really don’t think you > can add too much value in terms of primary > security analysis when you are also responsible > for meeting with clients, answering phone calls, > writing monthly market updates, etc; there just > aren’t enough hours in the day. The stock > research is most likely done on a superficial > level. Our front office is divided into 2 parts, research and PM. I’m on the research side. Everyone of us has clients, but the PMs run most of the money. When PMs want to buy/sell, they talk to the research side for comments. PM’s bring ideas occasionally, but the bulk of research is done by RA’s. I totally agree that if a person is doing client service, buying and selling securities, management, and researching, at least one function will be shot. Our firm, however, has distinct roles for everyone.
Kevin, consider yourself lucky to be in a firm that actually utilizes it’s talent efficiently. Sounds like you have a heck of a role that will translate into an PM title eventually. If you don’t mind me asking, how large is your firm and where are you located?
$900 million AUM, stocks and bonds only. Largest city in the Southeast. I do consider myself very lucky, I like the environment and the challenging work. Our weekly investment meetings (all front office personnels must attend) are a gold mine for learning. We highly value internally generated research, cause IMO our qualifications are probably than some sell-siders (everyone in front office has CFA, passed lvl 3 and awaits charter, and half are CFA/MBAs) Right now I just really enjoy analyzing stocks, what role I will eventually assume is still unknown. One thing I do know is the experience I get from this firm will be wonderful to put on resume in the future.
damm man, your jobs sound good.