And When Did You Last See Your Investor?

Encouraging systematic traders to see their investors as customers.

Doubtless money managers were busy figuring out what to do in the lead-up to Brexit and the anticipated (and now, realized) volatility. How much of that activity involved managing their relationship with investors?

If you didn’t include communicating with your investors in your preparation for the referendum, the large degree of volatility since warrants a call. Your investors are wondering how your systems handled the shock and will appreciate your candor whether the news is good or bad; uncertainty is what investors dislike most.

Ask yourself what’s the worst that can happen? It’s better to ‘fess up to a rough patch than be perceived as hiding something.

And what’s the best that can happen? You add another rock to the foundation of your relationship with the investor. You demonstrate transparency. You show that your investor, your customer, is at the center of what you do.

So, if you haven’t seen your investor for a while, use Brexit as a reason to!

➤ Stay tuned (click “Follow”) for more thoughts on business strategy for systematic trading funds. I would welcome your comments.

Pic: William Frederick Yeames – And when did you last see your father? 1878