A quiet revolution is happening in asset management. A centuries old model is under strain.

You're listening to Money Talks from Economist Radio, our weekly

podcast on the markets, the economy and the world of business. I'm Patrick Lane, and in this episode meet the money doctors. We'll be hearing from

insiders about an industry changing beyond recognition. Digital engagement has gone through the roof

that march towards better value with increased transparency.

I think that that's not going to go away.

We'll explore how the pursuit of higher returns is forcing firms to rethink

how they operate. We have a Camelot in our minds. We are public market investors. We're

intensely involved in overseeing companies.

And the truth is that Camelot never existed.

And find out what this means for the future of a business built on the art of prediction.

When you're skating towards where the puck will be rather than where it is,

and this leapfrogging of new technology to replace these legacy businesses is now routine. Most people have a little idea how to invest, just as they have little idea how to treat health problems.

Patients value and are steered by doctors advice, even where it is generic and even self-serving.

So a trio of economists, Nikola Janioli, Andre Schliefer, and Robert Vishny argued that fund managers act as money doctors.

The money doctors job is to give people the confidence to take on investment risk, and, as in medicine, manner and confidence are often as important as

efficacy. To help sort the quacks from the true specialists, I'm joined by John O'Sullivan,

the economist's Buttonwood columnist, and the author of a special report

on the industry which you can read at economist.com.

John, welcome to money talks.

Thank you for having me.

You've been immersing yourself in this world for the past few months.

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