Janus Henderson: Investing Together: Client Conversations

Ali Dibadj, CEO, shares the industry topics he’s hearing most in conversations with asset allocators, family offices, end-clients, colleagues, investors, and others he meets around the world. How are allocation trends changing and where are active managers making a difference at a service and product level?

Key takeaways:

• Macro drivers tied to geopolitical realignment, demographics, and the return of the cost of capital continue to be high on the agenda, with active rather than passive investing seen as better suited to taking advantage.
• There is strong interest in fixed income, as well as in innovation themes like technology and biotech. Exchange traded funds (ETFs) are increasingly a vehicle of choice. Allocation views remain positive on the US and are becoming more constructive on Western Europe, developed Asia, and certain areas of emerging markets.
• Demand continues for customisation of service and product to best suit individual needs. Clients are favouring Solutions offerings that blend expertise to start to bring the large amounts of cash on the sidelines back into play.

In this video Ali Dibadj explores the topics that are currently front of mind for clients and setting the direction of our industry. High on the agenda are the three macro drivers that we’ve talked and written about previously Navigating change: Three drivers for long-term investment positioning.

Geopolitical realignment, demographic shifts, and the return of the cost of capital are combining to have a meaningful impact on the investment landscape. Higher borrowing costs in particular are separating the winners and losers, and require a proactive approach to security selection as discussed in What the higher cost of capital means for investors. Harnessing innovation themes, such as biotech, AI, and technology more widely, also suits research-driven investing.

In other areas, investors are beginning to add more risk to portfolios and considering a balanced equity and fixed income approach, emerging markets are again on the radar, and the services of Portfolio Construction & Strategy teams are in growing demand as clients look for optimal positioning.

As Ali notes, there is optimism coming back into the industry and it is an exciting time for Janus Henderson’s 340+ active investing experts and 500+ client service specialists. Having been investing together with clients – and their clients – for 90 years, our commitment to delivering a brighter future for all is as strong as ever.

Definition and disclaimers 

Managed investment portfolios may fail to produce the intended results. No investment strategy can ensure a profit or eliminate the risk of loss.

Exchange Traded Fund (ETF) is a security that tracks an index, sector, commodity, or pool of assets (such as an index fund). ETFs trade like an equity on a stock exchange and experience price changes as the underlying assets move up and down in price. ETFs typically have higher daily liquidity and lower fees than actively managed funds.

Quantitative overlay is a management style that seeks to harmonise, or balance, an investor’s combined positions across separate accounts or holdings. A quantitative or systematic overlay uses data analysis to calculate probabilities and seeks to make sure an investor’s strategies are implemented and coordinated efficiently.

As referenced in the video, 60 million people directly or indirectly entrusting their brighter futures to Janus Henderson reflects the estimated number of individuals as of year-end 2022 where either their current assets or future benefits are invested in Janus Henderson investment products and is based on JHI’s AUM market share by country, the size of the investing population by country, and average account sizes, using industry and government data and internal estimates.

Janus Henderson investment professionals and client service experts number as at 31 December 2023.

These are the views of the author at the time of publication and may differ from the views of other individuals/teams at Janus Henderson Investors. References made to individual securities do not constitute a recommendation to buy, sell or hold any security, investment strategy or market sector, and should not be assumed to be profitable. Janus Henderson Investors, its affiliated advisor, or its employees, may have a position in the securities mentioned.

Past performance does not predict future returns. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.

The information in this article does not qualify as an investment recommendation.

Marketing Communication.