Why use an investment management boutique?
Investment managers need intellectual more than financial capital:
- As service companies, they are not capital intensive
- Communications allow them to be outside London, and to have lower costs
- Research is a commodity, but the value of the service lies in decision-making
- Away from the environmental and political stresses of the City, decisions can be made calmly
- Appropriate decisions involve both client knowledge and investment knowledge
The above being true, such businesses should be employee-owned.