By Zach Kouwe
Numerous advertising executives have offered marketing advice for hedge funds hoping to expand their client base. Some key terms that are circulating amongst the experts are “transparency,” “access” and “performance.”
Rob Reilly of Crispin, Porter & Bogusky said:
“They have to find a way to be more transparent. They need to be honest and show how the money is made and how their process works.”
He explained that although many hedge funds would find this disclosure unsettling, or even unmanageable, increased sharing contributes greatly to compelling marketing campaigns. Ads and campaigns in today’s industries are often extremely flashy and loud. Experts suggest that hedge funds find a healthy medium.
“I wouldn’t invent talking babies or clever mnemonics; I’d be very straight forward about it,” explained Butler, Shine, Stern & Partners’ John Butler.
For example, Mr. Reilly suggests that a firm broadcast a town-hall meeting on the official website, or even YouTube. The hedge fund’s executives could then publically answer questions from current, past, and potential investors.