Why fund buyers are right to back rising stars

Investment Week is launching a new series this week building on the significant interest in last year's Top Managers Under 35 list, which highlighted exciting new talent in the fund management industry as chosen by selectors and wealth managers.

But why focus on rising stars as fund flows are increasingly funnelled into large, established vehicles run by well-known names? One reason for many buyers is keeping a close eye on succession planning for their favourite portfolios. At some point in the not too distant future, there will be a change of the guard and the younger generation will be propelled into the limelight, with some assuming sole control of billions of assets under management. Buyers will be interested to see how these newer managers, many of whom are already co-managers at a young age, have been preparing for thi...