How Many Months of Underperformance Would It Take Before Investment Team Members Are Dismissed/Fired From Your Organization?
78% of respondents to our unscientific CFA Institute Financial Newsbrief poll said that career risk due to underperformance is a factor at their firms. The largest number (28%) said that between one to two years was the time period when job security would start to be an issue. Another 13% said that in even less than one year the investment team should be concerned. In other words, 41% said investment teams have less than two years to turn around underperformance or it may be time to dust off the resume.
Read more discussion of this result in The Investment Risk You’ve Never Calculated.
Rebecca Fender, CFA, is chief of staff for Research, Advocacy, and Standards at CFA Institute. Previously she lead the Future of Finance initiative, which is the thought leadership platform for CFA Institute. The group publishes studies to help investment professionals build their careers and serve their clients more effectively. Their paper Investment Professional of the Future was recently awarded Best Investment Industry Paper of 2019 by Savvy Investor. Fender has testified before the US House Financial Services Committee AI Task Force on the impact of artificial intelligence on investment roles. She speaks regularly at industry events and has been quoted in the Financial Times, Bloomberg, and the New York Times, among others. Prior to joining CFA Institute, Fender was a vice president at BlackRock working with pension funds and endowments, and she also worked at Cambridge Associates, where she published research about manager selection. She earned her undergraduate degree in economics from Princeton University and holds an MBA from the Darden School at the University of Virginia.
