Allied offers

Russell to develop portfolio analysis tools for partners. Frank Russell is bolstering the service it offers to European distribution partners. Alison Ramsdale, managing director for European distribution alliances, said Russell was developing asset allocation tools for certain allies. The tools will help companies to treat wealthier retail clients in a more personalised “high net worth” style. The Tacoma, US-based $67bn (E62bn) multi-manager is working with Italian retail mutual fund provider Arca Sgr and certain smaller companies on “designing something practical in relation to their client base”. “They are allowing us to sit down with their clients and go through their needs in order to build up risk profiles,” revealed Ms Ramsdale. The service will be developed only with some partners because others “are very good at this already and don’t need our help”, she said. Russell has firm plans to form further distribution alliances this year. Germany seems a likely target for the firm, since it only has one alliance there, with the financial services arm of car manufacturer BMW. US research company Cerulli Associates believes Germany is set to embrace open architecture in 2003. In particular, top German fund retail fund distributors Allianz and HypoVereinsbank, are said to be keen to arrange third party fund distribution agreements. Russell is boosting its Spanish presence with the opening of a Madrid office. This builds on its distribution alliance formed last year with Ahorro Corporación. A suite of guaranteed products based on Russell’s multi-manager funds, currently being piloted in Dublin, is about to be introduced across Europe.