David Marshall combines interviews and conjoint analysis to explain how professional fund selectors pick managers. Qualitative work with thirteen gatekeepers produces a seven-factor framework covering Firm, People, Philosophy, Process, Risk, Performance, and Price. A survey of 392 selectors feeds a hierarchical Bayes model that validates the role of these factors and demonstrates the notion of synergy: Marshall tests the combination of Philosophy, current returns, and return pattern, which improves manager appeal, lifting it by nine percent. Wealth and institutional segments apply similar weights across the framework but indicate some differences and biases that are worthy of additional research. The dissertation turns vague “soft factors” into a measurable framework and shows that coherence across factors drives approval more than isolated factors considered on their own.
Decision Frameworks and Synergism in Investment Manager Selection
