Customer relationship management (CRM) systems are not only gaining more popularity among mutual fund companies, but they are becoming more sophisticated. And fund firms are not the only ones playing this game.

Just like fund companies, top investment banks – battered by changing customer needs, shrinking margins and increasingly sophisticated buying behavior – are turning to CRM to become more efficient in serving investors and to increase their market share, according to a new study by Booz Allen Hamilton.

After interviewing more than 100 top investment banks in the U.S. and Europe, including Merrill Lynch and Goldman Sachs. Booz Allen learned that, only recently, 75% of leading investment banks have turned to CRM, with senior management typically overseeing these projects.

"The relationship game on the Street is being upped, and doing nothing is not an option for most players," said David Owen, a principal at Booz Allen.

"Getting it right is complex and does not happen overnight," added Atul Kamra, a Booz Allen VP. "Firms must strike the right balance between a narrow focus on product, and a broader view of client needs."

For a copy of the study, contact Karen Guterl at, or 212-551-6516.

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