NAPLES, Fla. (HedgeWorld.com)--Well known for its fund of funds business, LJH Global Investments is expanding and forming a marketing entity called LJH Financial Marketing Strategies.
Run separately from the funds of funds firm, LJH Financial Marketing Strategies provides marketing and crisis communications for financial institutions. Right now the firm is working with four or five clients active in the hedge fund industry, said Charlotte Luer, LJH Financial Marketing Strategies president and former spokeswoman for LJH Global.
The marketing firm, started earlier this summer, has struck an alliance with Capco, a global financial-services and technology solutions firm that works with hedge funds and hedge fund investors. The partnership will capitalize on Capco's work as a strategic consultant focused on operational and infrastructure issues.
Known for their focus on operational risk, Capco officials plan to continue helping hedge funds and their investors deal with due diligence, technology, valuation processes, cash movement controls, regulatory issues and subscription practices. "We look beyond the trading and investment processes," said Christoper Kundro, partner at Capco.
Earlier this year, Capco compiled a study of 100 hedge fund failures over the past 20 years that revealed that half of hedge fund failures are due to operational issues Previous HedgeWorld Story.
There's another type of risk, according to Mr. Kundro and Stuart Feffer, co-author of the study. That risk involves a fund's reputation, and that's where the LJH marketing efforts will come in handy for clients. LJH's investment business used Capco for the last two years, consulting on the firm's operations.
Now LJH Financial Marketing will augment Capco's business by handling marketing audits, perception surveys and crisis communication programs for their clients. Customized programs will include strategic marketing counsel, investor relations, media relations, collateral materials, special events and educational programs.