Growth takes time and effort in investment trust marketing. Unlike other sectors where fast growth can come from a short-term campaign, investment marketing is a marathon, not a sprint. The key to growth? Small actions that build momentum over time. At Hub, we’ve seen how these small steps add up to big growth – especially in a sector where trust and stability are key.

 

Why Incremental Demand is the Key

One of the most important lessons I’ve learned in marketing for investment trusts is that incremental demand is key. Growth doesn’t come from a one-off event but from a steady stream of interest from investors. While growth may feel slow at first, this ongoing demand makes trusts perform at a premium and subsequently drives more growth.

Marketing can drive incremental demand, but remember external factors such as market performance, regulation and macroeconomic conditions also play a big part in growth opportunities.

As Simon Longfellow, a marketing leader with over 25 years’ experience at Halifax and Janus Henderson said in our recent podcast: “If you can get an investment trust to grow at a premium, it opens the door for big growth opportunities.” This shows how consistency, not quick wins, is the key to sustainable growth and potentially allows the trust to raise capital and grow assets more efficiently.

Retail investors are a big part of this equation. While institutional and professional investors also play a role, retail demand can have a big impact because it’s regular and incremental. In many cases, asset managers want to diversify or dilute their share register by attracting a broader range of retail investors. This steady demand can help narrow the discount and push the trust to a premium, it’s a key part of the growth strategy.

At Hub, we’ve seen this in action. Regular targeted content to specific investor profiles with educational resources keeps investment trusts top of mind even in tough markets. It’s the small steps that make the big difference.

 

Simplifying Communication with Boards

One of the biggest challenges marketers face when rolling out a consistent strategy is getting buy-in from the board or senior leadership. The C-suite often doesn’t speak the same marketing language as us marketers, especially in sectors like asset management. When your focus is on performance, compliance and risk management, marketing-speak can seem irrelevant.

Simon Longfellow, who is now an independent director at Electric and General Investment Fund and a non-executive director of Columbia Threadneedle Global Managed Portfolio Trust, said in our podcast, “You have to speak the language of the boardroom.” Boards need clear and simple explanations of how marketing drives growth.

I agree with this and mentioned in our conversation how important it is for “marketing teams, agencies and board members to all speak the same language. Setting the terms of reference at the start can form the basis of a common dialogue.” This ensures alignment and understanding between the marketing function and the board and creates an environment where marketing’s impact on growth is clear.

Boards are highly knowledgeable about investment trusts. It’s not just about simplifying but ensuring marketing strategies align with the board’s overall growth and investor engagement goals.

At Hub, we’ve found that simplifying the message and focusing on core metrics – growth, return on investment and incremental demand – helps boards understand the long-term value of consistent marketing. One of our clients struggled to get their board to buy into a content-led strategy. By focusing on how small, incremental efforts could build steady demand and growth, we were able to show the impact marketing could have.

 

Practical Steps to Turn Marketing into a Growth Driver

How can we as marketers put these principles into practice? Here are a few steps that have worked for us at Hub and can work for any marketing team in asset management:

    1. Start Small but be Consistent: Whether it’s a content series, social media campaign or regular webinars, focus on small, manageable actions. Consistency is more important than grandeur, but it must be grounded in a data-driven strategy. Every action, no matter how small, should be backed by insights and testing to ensure it aligns with broader growth objectives.

    1. Know Your Audience and Align with Consumer Duty: Retail and institutional investors behave differently and understanding their needs is key. Tailor your approach for each audience. For retail investors, focus on accessibility, education and transparency to ensure they understand your product’s benefits. This is particularly important in light of the FCA’s Consumer Duty guidelines which require delivering good outcomes for customers and clear, fair and not misleading communications. By prioritising the needs of retail investors and meeting these regulatory requirements you can build trust and generate sustained demand.

    1. Simplify Your Messaging for Boards: When presenting to boards, concentrate on outcomes that matter to them – growth, engagement and performance. Avoid marketing jargon and focus on how small incremental actions compound into big results.

    1. Leverage Data to Refine Your Strategy: Track and measure your incremental efforts – whether it’s website traffic, webinar attendance or social media engagement. Use data to refine your strategy and improve results over time.

    1. Stay the Course: Asset management marketing isn’t about quick wins. Stick to your strategy even when results seem slow. Over time you’ll see the compounding impact of your efforts.

Small Actions

In asset management marketing, small incremental actions make the biggest difference. By focusing on incremental demand, simplifying communication with boards and tailoring to specific audiences we can turn marketing into an actual growth engine for investment trusts.

At Hub, we’ve seen this work time and time again. With the right focus, any marketer can achieve the same. It’s about playing the long game – one small step at a time.

Listen to The Growth Engine podcast:

For more insights from other marketing leaders, check out our latest podcast episode. You’ll hear stories from the front lines of financial services marketing and practical tips to take your strategy further.