Effective branding gives hedge funds the edge

In the world of business finance where close to ten thousand new start-up hedge funds are emerging at any one time, branding is rarely near the top of the to-do list for founding fund managers, whose limited time is stretched across, “compliance, recruiting, operations, sales and marketing,” according to AIMA.  But why is this?

A leftover misunderstanding of the past twenty years is that branding is all about logo. A shape, up to three colours and possibly, a name. Certainly, no more than this. And that’s if they do a good job. Many fund managers wearing the hat of Marketing Director have very little previous design experience and have gained what they do know in far larger outfits with access to whole departments or well-established PR agencies. The new start-up’s logo and so-called corporate identity are therefore hurried, with the result being of poor quality, lacking emotional connection with either employee or potential client and giving rise to numerous confused interpretations. The overall effect is often the direct opposite of what they ideally wanted to achieve.

In fact, branding is a fantastic opportunity to demonstrate the very values and virtues investors are craving. It’s your chance to “take the reins and try to control what [your] reputation looks like,” explains AIMA. Deep inside a positive reputation is a well of trust which has been either developed through evidential previous experience or assembled through the individual earlier career paths of new founders who have come together for the new venture. Where a reputation does not yet exist, it’s even more important to create a recognisable, representative brand that investors can connect with through business values and visual identity (logo, colours, design across all media platforms using simple and consistent and memorable key messaging). The greater the trust, the stronger the brand but equally, the stronger the brand the greater the trust!

Standing out from the crowd visually on websites, social media and stationery is only halfway to branding success. Embedding that brand with clear values and direction of progress that will continually and consistently draw interest and inspire your market audience takes real skill and commitment. You need to position your brand for growth so its effective across all media, giving confidence not just to new fund investors but to your business team and future employees too.

At Lacewing this is our speciality. Our designers and writers know that effective branding gives hedge funds an edge. Don’t miss the opportunity. Contact kate@lacewingmedia.com.