JP Morgan believes that a growing crop of asset management companies will look to offer their own wrap propositions as fund managers try to secure a greater share of the distribution market.
Speaking at the Osney Media conference on UK retail fund distribution last week, JP Morgan Asset Management head of UK retail marketing Keith Evins said: “It is not beyond the realms of fantasy that fund managers will offer their own wrap platforms.”
Money Marketing revealed earlier this year that JP Morgan is looking at building its own wrap platform but it is tight-lipped on any further details.
At the conference, Evins said that adviser demand for investment solutions makes platform development an attractive option.
He said: “Our expertise as fund managers is to put those investment solutions together and if we want representation in some of those solutions, then the obvious thing is to have our own wrap platforms.”
Insight Investment said it may offer advisers its own white-labelled broker fund. Director of third-party distribution Martyn Gilbey said the firm sees white-labelling as a growing market well suited to the multi-manager model.
Gilbey said: “We have not quite figured out how to play that market but it is something we are looking at.”
Representatives from Neptune Investment Management and Lazard Asset Management however ruled out white labelling their own broker funds. Lazard managing director and head of third-party distribution Charles Wilson said: “It is not a business initiative we want to pursue.”