Transcript 2009 WebMonitor Enhancements

Matt Schiffman
Legg Mason
Head of Retail - Americas
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Batterymarch • Brandywine Global • ClearBridge Advisors • Legg Mason Capital Management • Legg Mason Global Equities Group
Permal • Private Capital Management • Royce & Associates • Western Asset Management
Legg Mason — A History of Innovation
• Headquartered in Baltimore, MD with 33 offices around the world
• Serving individual and institutional investors in over 190 countries,
for over a century
• Continuous evolution through manager acquisition for over four decades
• Leading, diversified global asset manager
− 3rd largest SMA provider1
− 5th largest closed-end fund manager in the U.S.2
− 8th largest advisor-sold fund complex2
− 8th largest manager of institutional assets worldwide3
− 11th largest manager of worldwide assets3
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MMI, Dover Financial Research, 2nd Quarter 2009 Edition, data as of 3/31/2009
Simfund (Strategic Insight), as of 6/30/2009
Pension & Investments, 5/2009 based on 12/31/2008 worldwide assets under management
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Our Unique Multi-Manager Franchise
Our model allows us to attract and retain renowned investment talent, enabling
us to provide specialized investment solutions for our clients.
• One of the world’s largest managers of fixed income assets with over 100
products, managed globally, in 17 countries
• Over 30 years of experience investing in small-cap companies through bottomup, value oriented research
• Our largest equity manager covering small cap value to large cap growth
featuring high conviction, low turn-over portfolios
• Established in 1969, the firm is a pioneer in global quantitative equity management
• Value investment boutique offering equity, fixed income and balanced
portfolios that invest in U.S., international and global markets
• Specializes in long-term, valuation-based equity management using bottom-up
stock selection
• One of the oldest and largest hedge fund-of-fund managers in the world with
over 30 years of experience
• International and global investment boutique focused on institutional clients, subadvisory relationships, and fulfilling the investment needs of high net worth individuals
All investment managers are subsidiaries of Legg Mason, Inc. Legg Mason Investor Services, LLC is a subsidiary of Legg Mason, Inc.
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“Growth Through Focus” Strategy
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Best Practices Are Emerging In Retail
Sales & Distribution
FROM
1 Client
segmentation
2 Key accounts
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Consultant
relations
Sales
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effectiveness
Servicing
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independents
TO
• Segmentation based on
• Determine priority firms and provide deep coverage,
simplistic channel structures
with on-going, disciplined prioritization based on
rigorous analytics
• Limited differentiation in the frequency
and quality of contacts with intermediaries • Communicate client priorities clearly across
to achieve strategic objectives
organization to ensure different levels of service
• Some relationships with senior
executives at major intermediaries
• Role primarily focus on negotiating
revenue-sharing agreements
• Expand role of key accounts to forge deeper,
consultative relationships with senior client
executives at focus firms
• Staff with senior business leaders with sophisticated
knowledge of market, client, and products
• Typically informal function
filled by key account managers
• Establish formal group focused on servicing the
analytical requirements of due diligence/manager
selection groups
• Relationship-driven sales techniques
with minimal product knowledge
• Service mostly reactive to
client requests and handle
day-to-day tasks
• Dramatically upgrade investment sophistication of
wholesalers by leveraging product experts, use of
specialists (e.g., retirement), and invest in training
• Adopt consultative sales approach; focus and tier
efforts based on rigorous adviser segmentation
• Success due to existing presence,
word-of-mouth referrals
• Develop strategic, marketing-based techniques for
targeting independents, including data analysis to
profile like-minded advisers, conferences, and wordof-mouth referrals
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Technology That Enables A True
Client-centric Approach
• Evolution of customer relationship management (CRM) strategy
• Continued development of customized financial advisor portal views
−NBD – firm specific
−IAD – generic view plus target firms offered firm specific views
• Robust email platform including:
−Weekly Legg Mason Flash (investment themes)
−Product focused campaigns
−Client servicing with up-to-date commentary/data
• Addition of online subscription service
© 2009 Legg Mason Investor Services, LLC. Member FINRA, SIPC
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