A common question we receive is whether the ARC Indices can identify the “best” investment manager. The short answer is no—because investment performance is highly context-dependent.
Why we do not produce league tables or rankings of manager returns
A natural follow-up to the question of identifying the best manager is why we do not publish league tables ranking individual manager returns. The answer lies in maintaining the integrity of the ARC Indices as an independent benchmark.
Preserving benchmark value
The ARC Indices are designed to provide an objective measure of risk-adjusted performance across the investment industry. If individual manager returns were publicly ranked, the value of the indices as a neutral industry benchmark would be compromised.
Encouraging industry transparency
A crucial factor in the robustness of the ARC Indices is the breadth of data submitted by discretionary investment managers. Publicly ranking managers would create a disincentive for those with below-average returns to contribute, reducing transparency and diminishing the value of the benchmark. Instead, by keeping individual manager data confidential, we encourage broad participation, ensuring the indices remain a reliable measure of industry-wide performance.
Focus on Risk-Adjusted Peer Group Analysis
Rather than producing league tables, the ARC Indices provide a meaningful way for investors, trustees and advisers to assess performance within appropriate risk categories. The focus is on whether a manager delivers returns commensurate with the risk taken—not on an arbitrary ranking that may not account for differences in investment strategy, client mandates or market conditions.
Rather than “Who is the best manager?” a more useful question is, “Is my manager delivering appropriate risk-adjusted returns relative to their peers?” The ARC Indices provide an independent framework to help answer this, allowing investors to make informed decisions based on data rather than marketing claims.
ARC Investment Consulting services
Our core business is the provision of investment consultancy services, offering guidance and advice to investors on maximising their engagement with the investment management industry.
Clients benefit from collaborating with highly experienced consultants who have in-depth knowledge of the key levers for successful investing:
- Understanding goals
- Calibrating risk capacity and composure
- Documenting appropriate Investment Policy Statements
- Advising on governance and oversight
- Establishing Strategic Asset Allocation methodology
- Identifying suitable investment managers
- Arranging implementation and execution (where required)
- Providing ongoing monitoring, counsel, and guidance
We are equipped with proprietary analytical tools that facilitate valuable discussions to determine the best strategies and appoint the most suitable managers.
We provide investment advisory services to over 230 clients representing USD 22 billion of invested assets.
Asset Risk Consultants (UK) Limited is authorised and regulated by the Financial Conduct Authority (ref 652972), regulated by the US Securities and Exchange Commission (SEC file number 801-113652) and is established as an Unregistered Exempt International Advisor firm in the province of Ontario, Canada with the Ontario Securities Commission. NRD Number 78110.
Asset Risk Consultants Limited is authorised and regulated by the Guernsey Financial Services Commission (ref 92296).
Asset Risk Consultants (Jersey) Limited is authorised and regulated by the Jersey Financial Services Commission (IB0257).