The Multi-Manager Investing

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By serving as a single point of contact between a client and several emerging managers, Progress fills a significant void in the investment business. We close the gap between access to emerging investment talent and the time, energy and capital required to achieve such access in a disciplined, risk-controlled manner.

Efficient and Effective: Multi-Manager Construct

Point of contactProgress plays a vital role for investors seeking to leverage the potential of emerging managers. By serving as a single point of contact between our clients and the universe of diverse and emerging firms, Progress closes the gap between access to emerging investment talent committing the time, energy and intellectual capital required to achieve investment success in a disciplined, risk-controlled manner.

 We add value through manager selection and manage risk by actively overseeing the multi-manager portfolio. Furthermore, Progress not only engages in and actively oversees the multi-manager pool, but also adds value through diversifying manager selection. Through portfolio construction, Progress enables an institutional investor to reap the benefits of each of the managers’ unique talents while allocating assets among multiple managers, rather than taking on single manager risk by committing an entire portfolio to any one firm.

Providing Access to Best Investment Talent

Commoditization of data notwithstanding, not all emerging managers can be found in commercial databases. Progress makes it possible for institutional investors to discover and invest with these firms.

How? Progress sources, conducts due diligence, selects emerging managers, constructs portfolios, manages and monitors risk, and actively rebalances portfolios as part of our process. At the same time, we provide early-stage managers with client assets and an expanded market presence. Our goal is to ensure a “win-win” result for both clients and managers.

Investing with emerging managers can provide access to some of the best talent available. But ultimately, investing with a single manager—be it small or large in terms of assets under management—equates to putting all your eggs in one basket and relying on a single firm’s staff, strategies, resources, and limitations. This risk alone makes a good case for using an experienced specialist like Progress.

Progress diversifies both asset and manager allocations to help investors earn returns with commensurate risk. Our manager-of-managers model also helps emerging firms manage any capacity constraints specific to their investment philosophy or strategy. These are some of the many aspects that make the Progress model useful for institutional investors looking for an effective way to harness all of the potential available through investing with diverse and emerging investment firms.

Progress’ Competitive Advantage

Without success (i.e., without strong, long-term investment performance), there is no progress. Our firm’s philosophy of investing is summarized in the simple, time-tested adage: “Execution is everything.” We bring this focus on execution to all aspects of our investment strategy, from identifying candidate managers to structuring portfolios designed to balance different sources of risk and return in diverse markets. Equally important, however, we believe that the disciplined execution of our investment process is critical to consistently realizing the emerging manager advantage for our clients.

Our key differentiators are:

  • Types of managers sourced and used
    • Finding managers before they are household names
    • Qualitative assessments confirmed with quantitative analysis
    • Hedge-fund quality operational due diligence
  • Portfolio construction
    • Use of model portfolios
    • Long-term investment horizon informed by relative valuation considerations
  • Experience
    • Excellence in craft comes from knowledge
    • Knowledge comes from experience
    • Experience comes from failures, lessons learned, and successes
  • Seamless, integrated technology infrastructure
    • Portfolio analytics, compliance and reporting supported through a single, proprietary platform
  • Manager Assistance
    • In the form of assets, seeding new strategies, shared best practices and graduations, all of which are a byproduct of delivering on the performance proposition.

Click here to request Progress' position papers educating on the benefits of engaging a manager of managers, debunking the myths of double fees associated with a manager of managers' model, and how we graduate our managers to direct hire assignments with clients.

Why Use a Manager of Manager?
The Myth of
Double Fees
Graduating Best-in-Class Emerging Managers