IDEAS home Printed from https://ideas.repec.org/a/taf/regstd/v50y2016i1p168-181.html
   My bibliography  Save this article

The Components of Talent: Company Size and Financial Centres in the European Investment Management Industry

Author

Listed:
  • Gordon L. Clark

Abstract

C lark G. L. The components of talent: company size and financial centres in the European investment management industry, Regional Studies . As the centre for advanced financial services, and having the complex array of services needed to invest beyond Europe's borders, London dominates the European financial services industry. As in other global financial centres there is a premium on talented investment managers, identified in the media as 'star performers'. Investment companies rely on such employees for risk-adjusted rates of return on the basis of asset- and/or style-specific investment strategies while protecting their clients against the risks occasioned by market uncertainty. Drawing upon frameworks from organizational ecology, this paper integrates the size of companies with the market for talent sectorally and geographically.

Suggested Citation

  • Gordon L. Clark, 2016. "The Components of Talent: Company Size and Financial Centres in the European Investment Management Industry," Regional Studies, Taylor & Francis Journals, vol. 50(1), pages 168-181, January.
  • Handle: RePEc:taf:regstd:v:50:y:2016:i:1:p:168-181
    DOI: 10.1080/00343404.2015.1068932
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00343404.2015.1068932
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/00343404.2015.1068932?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Dominic Power, 2020. "A Response to Scott," Regional Studies, Taylor & Francis Journals, vol. 48(4), pages 579-582, July.
    2. William R. Kerr, 2010. "Breakthrough Inventions and Migrating Clusters of Innovation," NBER Chapters, in: Cities and Entrepreneurship, National Bureau of Economic Research, Inc.
    3. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2015. "Skilled Immigration and the Employment Structures of US Firms," Journal of Labor Economics, University of Chicago Press, vol. 33(S1), pages 147-186.
    4. James Faulconbridge & Ewald Engelen & Michael Hoyler & Jonathan Beaverstock, 2007. "Analysing the Changing Landscape of European Financial Centres: The Role of Financial Products and the Case of Amsterdam," Growth and Change, Wiley Blackwell, vol. 38(2), pages 279-303, June.
    5. Gordon L. Clark, 2014. "Information, knowledge, and investing in offshore financial markets," Journal of Sustainable Finance & Investment, Taylor & Francis Journals, vol. 4(4), pages 299-320, October.
    6. Moretti, Enrico & Wilson, Daniel J., 2014. "State incentives for innovation, star scientists and jobs: Evidence from biotech," Journal of Urban Economics, Elsevier, vol. 79(C), pages 20-38.
    7. Michael Storper & Anthony J. Venables, 2004. "Buzz: face-to-face contact and the urban economy," Journal of Economic Geography, Oxford University Press, vol. 4(4), pages 351-370, August.
    8. Gene M. Grossman & Elhanan Helpman, 2005. "Outsourcing in a Global Economy," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 72(1), pages 135-159.
    9. Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer & Robert W. Vishny, 1998. "Law and Finance," Journal of Political Economy, University of Chicago Press, vol. 106(6), pages 1113-1155, December.
    10. Allen J. Scott, 2008. "Resurgent Metropolis: Economy, Society and Urbanization in an Interconnected World," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 32(3), pages 548-564, September.
    11. John V. Winters, 2013. "Human capital externalities and employment differences across metropolitan areas of the USA," Journal of Economic Geography, Oxford University Press, vol. 13(5), pages 799-822, September.
    12. J. Doyne Farmer, 2002. "Market force, ecology and evolution," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 11(5), pages 895-953, November.
    13. Harold Demsetz, 1968. "The Cost of Transacting," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 82(1), pages 33-53.
    14. Allen John Scott, 2014. "Beyond the Creative City: Cognitive--Cultural Capitalism and the New Urbanism," Regional Studies, Taylor & Francis Journals, vol. 48(4), pages 565-578, April.
    15. Gordon L. Clark & Ashby H. B. Monk, 2013. "The scope of financial institutions: in-sourcing, outsourcing and off-shoring," Journal of Economic Geography, Oxford University Press, vol. 13(2), pages 279-298, March.
    16. Pástor, Ľuboš & Stambaugh, Robert F. & Taylor, Lucian A., 2015. "Scale and skill in active management," Journal of Financial Economics, Elsevier, vol. 116(1), pages 23-45.
    17. Bathelt, Harald & Gluckler, Johannes, 2011. "The Relational Economy: Geographies of Knowing and Learning," OUP Catalogue, Oxford University Press, number 9780199587391, Decembrie.
    18. George Baker & Robert Gibbons & Kevin J. Murphy, 2001. "Bringing the Market inside the Firm?," American Economic Review, American Economic Association, vol. 91(2), pages 212-218, May.
    19. Meric S. Gertler, 2001. "Best practice? Geography, learning and the institutional limits to strong convergence," Journal of Economic Geography, Oxford University Press, vol. 1(1), pages 5-26, January.
    20. Harald Bathelt & Patrick Cohendet, 2014. "The creation of knowledge: local building, global accessing and economic development—toward an agenda," Journal of Economic Geography, Oxford University Press, vol. 14(5), pages 869-882.
    21. Clark, Gordon L., 2003. "European Pensions & Global Finance," OUP Catalogue, Oxford University Press, number 9780199253647, Decembrie.
    22. Pástor, Ľuboš & Stambaugh, Robert F. & Taylor, Lucian A., 2015. "Scale and skill in active management," Journal of Financial Economics, Elsevier, vol. 116(1), pages 23-45.
    23. George Sugihara & Hao Ye, 2009. "Cooperative network dynamics," Nature, Nature, vol. 458(7241), pages 979-980, April.
    24. Rosen, Sherwin, 1986. "Prizes and Incentives in Elimination Tournaments," American Economic Review, American Economic Association, vol. 76(4), pages 701-715, September.
    25. Rosen, Sherwin, 1981. "The Economics of Superstars," American Economic Review, American Economic Association, vol. 71(5), pages 845-858, December.
    26. Linda Mcdowell & Adina Batnitzky & Sarah Dyer, 2009. "Precarious Work and Economic Migration: Emerging Immigrant Divisions of Labour in Greater London's Service Sector," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 33(1), pages 3-25, March.
    27. Sarah Hall & Lindsey Appleyard, 2009. "'City of London, City of Learning'? Placing business education within the geographies of finance," Journal of Economic Geography, Oxford University Press, vol. 9(5), pages 597-617, September.
    28. Andrew G. Haldane & Robert M. May, 2011. "Systemic risk in banking ecosystems," Nature, Nature, vol. 469(7330), pages 351-355, January.
    29. Clark, Gordon L. & Caerlewy-Smith, Emiko & Marshall, John C., 2006. "Pension fund trustee competence: decision making in problems relevant to investment practice," Journal of Pension Economics and Finance, Cambridge University Press, vol. 5(1), pages 91-110, March.
    30. Clark, Gordon L. & Caerlewy-Smith, Emiko & Marshall, John C., 2007. "The consistency of UK pension fund trustee decision-making," Journal of Pension Economics and Finance, Cambridge University Press, vol. 6(1), pages 67-86, March.
    31. Peter Folkman & Julie Froud & Sukhdev Johal & Karel Williams, 2007. "Working for themselves? Capital market intermediaries and present day capitalism," Business History, Taylor & Francis Journals, vol. 49(4), pages 552-572.
    32. Allen J. Scott, 2009. "Human capital resources and requirements across the metropolitan hierarchy of the USA," Journal of Economic Geography, Oxford University Press, vol. 9(2), pages 207-226, March.
    33. James N. Baron, 2004. "Employing identities in organizational ecology," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 13(1), pages 3-32, February.
    34. Michael T. Hannan & László Pólos & Glenn R. Carroll, 2007. "Language Matters, from Logics of Organization Theory: Audiences, Codes, and Ecologies," Introductory Chapters, in: Logics of Organization Theory: Audiences, Codes, and Ecologies, Princeton University Press.
    35. Ewald Engelen & Anna Glasmacher, 2013. "Multiple Financial Modernities. International Financial Centres, Urban Boosters and the Internet as the Site of Negotiations," Regional Studies, Taylor & Francis Journals, vol. 47(6), pages 850-867, June.
    36. Michael Storper & Allen J. Scott, 2009. "Rethinking human capital, creativity and urban growth," Journal of Economic Geography, Oxford University Press, vol. 9(2), pages 147-167, March.
    37. Neil M. Coe & Karen P. Y. Lai & Dariusz W�jcik, 2014. "Integrating Finance into Global Production Networks," Regional Studies, Taylor & Francis Journals, vol. 48(5), pages 761-777, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mathias Heidinger & Fabian Wenner & Sebastian Sager & Paul Sussmann & Alain Thierstein, 2023. "Where do knowledge-intensive firms locate in Germany?—An explanatory framework using exponential random graph modeling [Welche Standorte wählen wissensintensive Unternehmen in Deutschland? – Ein Er," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 43(1), pages 101-124, April.
    2. Gordon L Clark & Roger Urwin, 2008. "Best-practice pension fund governance," Journal of Asset Management, Palgrave Macmillan, vol. 9(1), pages 2-21, May.
    3. Gordon L Clark & Ashby H B Monk, 2014. "The Geography of Investment Management Contracts: The UK, Europe, and the Global Financial Services Industry," Environment and Planning A, , vol. 46(3), pages 531-549, March.
    4. Chakravarty, Dwarka & Goerzen, Anthony & Musteen, Martina & Ahsan, Mujtaba, 2021. "Global cities: A multi-disciplinary review and research agenda," Journal of World Business, Elsevier, vol. 56(3).
    5. Stefania Fiorentino, 2019. "The Maker Faire of Rome as a window of observation on the new perspectives for local economic development and the new urban entrepreneurial ecosystems," Local Economy, London South Bank University, vol. 34(4), pages 364-381, June.
    6. William R. Kerr & Frederic Robert-Nicoud, 2020. "Tech Clusters," Journal of Economic Perspectives, American Economic Association, vol. 34(3), pages 50-76, Summer.
    7. Gordon L. Clark, 2014. "Roepke Lecture in Economic Geography—Financial Literacy in Context," Economic Geography, Clark University, vol. 90(1), pages 1-23, January.
    8. Etienne Capron & Dominique Sagot-Duvauroux & Raphaël Suire, 2020. "Anatomy of a techno-creative community : the role of places and events in the emergence of videomapping in Nantes," Working Papers hal-02617101, HAL.
    9. Zhao, Juanjuan & Bentlage, Michael & Thierstein, Alain, 2017. "Residence, workplace and commute: Interrelated spatial choices of knowledge workers in the metropolitan region of Munich," Journal of Transport Geography, Elsevier, vol. 62(C), pages 197-212.
    10. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2015. "Skilled Immigration and the Employment Structures of US Firms," Journal of Labor Economics, University of Chicago Press, vol. 33(S1), pages 147-186.
    11. David W. Lehman & Balázs Kovács & Glenn R. Carroll, 2014. "Conflicting Social Codes and Organizations: Hygiene and Authenticity in Consumer Evaluations of Restaurants," Management Science, INFORMS, vol. 60(10), pages 2602-2617, October.
    12. Ioannou, Stefanos & Wójcik, Dariusz & Pažitka, Vladimír, 2021. "Financial centre bias in sub-sovereign credit ratings," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 70(C).
    13. Valérie Revest & Alessandro Sapio, 2012. "Financing technology-based small firms in Europe: what do we know?," Small Business Economics, Springer, vol. 39(1), pages 179-205, July.
    14. Duranton, Gilles & Puga, Diego, 2014. "The Growth of Cities," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 5, pages 781-853, Elsevier.
    15. Cuthbertson, Keith & Nitzsche, Dirk & O'Sullivan, Niall, 2016. "A review of behavioural and management effects in mutual fund performance," International Review of Financial Analysis, Elsevier, vol. 44(C), pages 162-176.
    16. Paula Prenzel & Simona Iammarino, 2018. "Ageing labour: How does demographic change affect regional human capital?," Papers in Evolutionary Economic Geography (PEEG) 1832, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Aug 2018.
    17. Mikhail Rogov & Céline Rozenblat, 2018. "Urban Resilience Discourse Analysis: Towards a Multi-Level Approach to Cities," Sustainability, MDPI, vol. 10(12), pages 1-21, November.
    18. Teodor Sedlarski, 2019. "Political Economy Of Social Status - Economic And Socio-Psychological Effects Of Status Competition On 'Winner-Take-All' Markets," Yearbook of the Faculty of Economics and Business Administration, Sofia University, Faculty of Economics and Business Administration, Sofia University St Kliment Ohridski - Bulgaria, vol. 17(1), pages 211-277, June.
    19. van Dalen, H.P. & Henkens, K. & Koedijk, C.G. & Slager, A.M.H., 2010. "Decision Making in the Pension Fund Board Room : An Experiment with Dutch Pension Fund Trustees," Discussion Paper 2010-18, Tilburg University, Center for Economic Research.
    20. Ma, Yue & Qu, Baozhi & Zhang, Yifan, 2010. "Judicial quality, contract intensity and trade: Firm-level evidence from developing and transition countries," Journal of Comparative Economics, Elsevier, vol. 38(2), pages 146-159, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:regstd:v:50:y:2016:i:1:p:168-181. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CRES20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.