Using Reporting to Anchor a Successful Client Communication Strategy

Abstract

Client reporting is an area in need of much improvement. Individual investors are demanding the kind of sophisticated performance reporting that until now was exclusively available to the institutional market. Client reporting can be improved by focusing on the four R's: manage, improve, and demonstrate returns; control risk; respond to regulatory requirements; and build better client relationships. Additionally, firms should build a strategy around the elements that will be reported, the predictable methodology the client will receive every time, and how the firm's story will be communicated. Reporting that is transparent, objective, and simple instills confidence and trust, which ultimately serves to help cement client relationships.