Inaction
Ride the curve down
↓0.111%
Operating margin on AUM — no pricing power to arrest the slide
↓Churn
Underperformance is the #1 reason clients leave; younger investors more fee-conscious
↓70%
of net flows go to passive — stagnant AUM, negative operating leverage
↓Low
“Distributor” multiple — risk of forced sale from weakness
Action
Reclaim the value chain
↑Premium
Proprietary products command premium fees and protect margins
↑Loyalty
“Built just for me” deepens loyalty and lifts lifetime value
↑82%
of managers grew private-markets offerings — capturing where flows head
↑High
Proprietary IP earns a higher exit multiple and consolidation strength