The new boutiques will initially cover fixed income, equity, bond, real estate, and alternative assets, according to an announcement. The move will primarily serve larger funds whose complex strategies require a high level of detailed knowledge, but the added resource and depth of research will also benefit Mercer’s broader client base, Mercer said.
“With our large clients, the real competition is increasingly from specialist research firms who put all their resource into researching single asset classes,” said Andrew Kirton, global head of Mercer’s investment consulting business, in the announcement. “By creating our own specialist teams we are taking our global manager research to the next level and will be able to compete with specialist boutiques, as well as provide our larger clients with a more comprehensive service.”
The new structure means a significant investment will be made in people and infrastructure, including plans to more than double staff numbers in the real estate and alternatives areas, Mercer said.