The Struggle is Real: How Asset Managers are Coping With Fee Pressure

1845368 06/19 Despite the challenges, the asset management industry is going to continue to grow and evolve. However, this doesn’t mean the struggle isn’t real for individual firms. While new fee models, securities lending, and alternative fund structures may provide some tactical relief, asset managers need to have a clear long-term strategy to deal with the changing landscape. The market, service, or other information is provided in this communication solely for your information and “AS IS” and “AS AVAILABLE,” without any representation or warranty as to accuracy, adequacy, completeness, timeliness or fitness for particular purpose. The user bears full responsibility for all use of such information. Citi may provide updates as further information becomes publicly available but will not be responsible for doing so. The terms, conditions and descriptions that appear are subject to change; provided, however, Citi has no responsibility for updating or correcting any information provided in this communication. No member of the Citi organization shall have any liability to any person receiving this communication for the quality, accuracy, timeliness or availability of any information contained in this communication or for any person’s use of or reliance on any of the information, including any loss to such person. This communication is not intended to constitute legal, regulatory, tax, investment, accounting, financial or other advice by any member of the Citi organization. This communication should not be used or relied upon by any person for the purpose of making any legal, regulatory, tax, investment, accounting, financial or other decision or to provide advice on such matters to any other person. Recipients of this communication should obtain guidance and/or advice, based on their own particular circumstances, from their own legal, tax or other appropriate advisor. Not all products and services that may be described in this communication are available in all geographic areas or to all persons. Your eligibility for particular products and services is subject to final determination by Citigroup and/or its affiliates. The entitled recipient of this communication may make the provided information available to its employees or employees of its affiliates for internal use only but may not reproduce, modify, disclose, or distribute such information to any third parties (including any customers, prospective customers or vendors) or commercially exploit it without Citi’s express written consent. Unauthorized use of the provided information or misuse of any information is strictly prohibited. Amongst Citi’s affiliates, (i) Citibank, N.A., London Branch is regulated by Office of the Comptroller of the Currency (USA), authorized by the Prudential Regulation Authority and subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority (together, the “UK Regulator”) and has its registered office at Citigroup Centre, Canada Square, London E14 5LB and (ii) Citibank Europe plc, is regulated by the Central Bank of Ireland, the European Central Bank and has its registered office at 1 North Wall Quay, Dublin 1, Ireland. This communication is directed at persons (i) who have been or can be classified by Citi as eligible counterparties or professional clients in line with the rules of the UK Regulator, (ii) who have professional experience in matters relating to investments falling within Article 19(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 and (iii) other persons to whom it may otherwise lawfully be communicated. No other person should act on the contents or access the products or transactions discussed in this communication. In particular, this communication is not intended for retail clients and Citi will not make such products or transactions available to retail clients. The information provided in this communication may relate to matters that are (i) not regulated by the UK Regulator and/or (ii) not subject to the protections of the United Kingdom’s Financial Services and Markets Act 2000 and/or the United Kingdom’s Financial Services Compensation Scheme. © 2019 Citibank, N.A. and/or each applicable affiliate. All rights reserved by Citibank, N.A. and/or each applicable affiliate. Citi and Arc Design is a trademark and service mark of Citigroup Inc., used and registered throughout the world.