March 18, 2009
ReFlow Ramps Up Client Relations Function To Meet Growing Demand for Redemption Service
John Shea named to new position as head of CRM.
(San Francisco, CA) ReFlow, a global provider of tools that help mutual funds improve performance by managing the impacts of shareholder flows, has named John Shea to the newly created position of Head of Client Relationship Management.
ReFlow President Paul Schaeffer said the new position was created in response to growth of the firm’s mutual fund client base and the introduction of new capabilities. “Because ReFlow’s solutions are designed to enhance performance every day, we decided it was time to institutionalize our focus on delivering a seamless, top-quality client experience,” said Schaeffer.
In his new role Shea will be responsible for coordinating and enhancing all elements of the ReFlow client experience, including sales, operations, day-to-day client support, and communications activities.
Shea has more than 15 years of financial services industry experience and joined ReFlow in 2007 as a business development specialist. He was previously a Senior Vice President at Dwight Asset Management, where he established the direct marketing of fixed income capabilities to corporate ERISA plans. Prior to that he was in business development and sales positions with Deutsche Asset Management, Lehman Brothers, and John Nuveen & Co. He is a graduate of Colgate University.
Demand for ReFlow’s Redemption Service jumped in 2008, as shareholders withdrew more than $180 billion dollars from long-term U.S. mutual funds. Total annual mutual fund withdrawals exceeded subscriptions for the first time in more than 20 years.
ReFlow’s Redemption Service helps funds meet redemptions by providing cash in exchange for shares in the funds, which redeem ReFlow’s position within 28 days. ReFlow’s service lowers transaction costs and capital gains distributions, since funds are able to avoid selling securities for cash; they also gain control over the timing of transactions.
During 2008, ReFlow provided more than $1.08 billion in capital to its mutual fund clients, a 13% rise over the previous year’s activity. The firm also signed up six new mutual fund complexes representing more than 98 funds and in excess of $50 billion in assets under management. The firm has kept up its momentum in 2009, distributing more than $140 million in capital and signing up another majorfund family client representing 10 funds and $5.7 billion in assets, in the first two months of the year.
“The current environment gives us an exciting opportunity to bring ReFlow’s innovative and cost-effective liquidity solution to mutual funds at a time when they need it more than ever,” commented Shea. “I’m convinced that before long the industry will identify as a best practice the common-sense redemption approach ReFlow has pioneered. This is just the beginning.”
Founded in 2002, ReFlow serves U.S. mutual funds and European investment funds (UCITS). The firm is headquartered in San Francisco with an office in Luxembourg. Its performance-enhancing toolkit has been approved by the boards of 19 mutual fund families, representing more than $257 billion in assets, for use by 384 funds. ReFlow has provided more than $2.37 billion in liquidity to its mutual fund clients to date. For more information about ReFlow and its Redemption Service, please visit www.reflow.com.