After the shock of Q1 lockdowns, the Asset Management industry naturally pulled back on hiring. The focus remains on managing headcount costs, but with markets remaining strong, the industry is keen to add strategic talent where available. I gave my thoughts to FT Ignites on this subject earlier this week. 

"Navin Raina, managing director of AMC Executive Search, agrees that experience in alternative assets is a key selling point for candidates, while expertise in ESG is “even more relevant than it was before”.

Mr Raina adds that fund houses are looking for experience in ESG at “not only an investment level but also in a leadership context” as regulators and investors demand that asset managers demonstrate their sustainability.

However, he cautions that “there is still a conservatism in the industry about adding talent and increasing costs”.

He says: “It does not affect the senior levels as much as it does the middle management. It is there that you are seeing a [hiring] slowdown.

“It is getting started again but it is still significantly down on previous years.”

Mr Raina adds that while asset managers “may not have made a big song and dance about it”, firms have been “looking at their cost base and being quite firm about it”.

“What you often see is firms looking to add talent but to do it in a cost-mutual way,” he says.

This includes rejigging team structures or moving underperformers so someone else can be brought in, as well as prioritising internal promotions over outside appointments.