In today’s environment, persistent pricing pressure, the demand of custom investment products and the rise of “institutional-style” investing across defined contribution (DC) plan segments are all contributing to the continued growth of collective investment trusts (CITs).
Historical growth and future expectations of CITs as an integral component in DC plans notwithstanding, not all asset managers are taking advantage of the vehicle’s attributes and capitalising on the opportunity. What separates the winners from the losers is the ability to develop a vehicle-agnostic sales approach and partner on innovative white-labeled products.
As a follow-up to our 2017-2018 series for investment managers participating in the US retirement marketplace, SEI, in collaboration with the Retirement Leadership Forum (RLF), is releasing a new series of briefs.
Each brief will provide a deeper look into how the industry’s top firms are using CITs to gain success in the DC market.
The first brief in our four-part series will explore how firms are driving CIT sales success by implementing best practices to build a long-term growth strategy with this product by:
• Aligning sales and relationship resources to the CIT opportunity
• Building incentive and compensation programs that target CIT growth
• Educating stakeholders about the merits and applicability of CITs across market segments