The National Association of Active Investment Managers held its first workshop “Taking Your Asset Management Business to the Next Level” in Costa Mesa (Orange County), CA on Friday, September 12, 2014.

The workshop was well-attended, with more than 25 attendees gathered to share ideas and tips on active investment management.  Notably, more than half the attendees were non-members, demonstrating that the use of Active Investment Management in asset management practices is expanding.

The workshop kicked off with Ted Lundgren of Hg Capital, LLC and NAAIM Vice President, discussing the value of adding active investment management to your practice and how to get started, either by doing it yourself, outsourcing to another manager, or partnering with other advisors.

He then moved on to describe the four facets of an Active Investment Management Practice:

  1. CREATION – Designing and testing the right model or strategy for your clients
  2. PRODUCTIZATION – Getting your Strategy ready to market
  3. DISTRIBUTION – Finding the right platform or partner to sell your Strategy
  4. RETENTION – Monitoring and Refinement of Your Model to help clients reach their goals

Advisors and their practices could fit into any of these categories, depending on where you are in the process AND where you want to be.  Not all advisors are model-builders.  Some are great salespeople, while others hate marketing.  Ultimately to be successful as a financial advisor, it helps to know your skill set and where you need to seek help from others.

Lundgren then introduced Dave Walton, 2014 1st Place NAAIM Wagner Award winner.  Walton briefly presented the idea of why back-testing and system bias are important concepts to incorporate when developing your strategy.  Walton will be presenting an in-conference, 3-class workshop at the Outlook Conference in Dallas, Nov. 10-11.

Lundgren followed up with additional information on the other three facets, generating discussion along the way from the workshop attendees.  In fact, the interaction among the attendees is certainly one of the highlights of the workshop, with members and non-members alike sharing their thoughts.

In the last half of the workshop, Ted Lundgren delved further into the workshop content, giving tips on preparing for the due diligence process and discussing how to promote a strategy with no track record.

Carl Resnick, Head of Rydex Funds Distribution, Guggenheim Investments (and workshop sponsor) followed up the NAAIM presentation with a CE Credit course on “A Practical Guide to Implementing Alternatives”., which was very well-received by the attendees.

In his presentation, Resnick covered such topics as:

  • What Are Alternative Investments
  • Two Key Dimensions for Diversification
    • Why Care about Volatility
    • What Happened to Correlations?
  • How Do We Add Alternatives to the Traditional Portfolio

As always with a NAAIM event, it was truly the interaction and networking among the advisors that makes for a must-attend event.  Workshop attendees not only joined the session discussion, but spent time during breaks and at lunch exchanging ideas and business cards.

Overall, the workshop was a success.  For future workshops, we hope to continue to appeal to both members and prospective members, and are working hard to improve the level of content offered.

If you didn’t get an opportunity to attend the workshop in California, rest assured that we will have even MORE detailed content, peer-to-peer interaction and educational information for you at NAAIM’s 2014 fall Outlook Conference.