Management

Abstract

Since the end of World War II a feature of the investment trust industry has been the growth and concentration of the management groups. Many factors contributed to this. The accounting and legal firms who had made such a significant contribution in the early years of the industry found it necessary to withdraw from this field, thus providing an opportunity for the growth of specialist groups. Some companies decided that, in a period of increasing complexity and specialization, within both the field of economic activity generally and more specifically in the investment trust sphere, the boards of directors should concentrate more on policy, and delegate day-to-day investment management to specialists. The impact of inflation and the increasing cost of providing services also led to the pooling of resources.