In light of the evolution of institutional investor portfolio construction over the past 50 years, hedge fund managers must adapt their offerings to ensure that they can meet the needs of institutional investors.  In addition, innovations have allowed asset managers to offer portfolio management services to retail investors.  These issues were addressed by Citi Business Advisory Services (Citi) in its sixth annual asset management Industry Evolution Report.  This article, the third in a three-part series, explores how asset managers may tailor their product offerings and marketing efforts to meet the evolving needs of institutional investors and how they may offer “institutional” portfolio construction to retail investors.  The first article discussed the methodology employed by Citi in conducting its survey; tracked the evolution of modern portfolio theory; examined portfolio weaknesses exposed by the global financial crisis; and reviewed the alignment by investors of their portfolios to certain risk factors.  The second article covered Citi’s assessment of investment managers’ adaptation of their products to investors’ needs and the evolution of hedge funds following the global financial crisis.  For additional insight from Citi, see “Citi Survey Finds Large Drop in Hedge Fund Profitability from 2013 to 2014, Highlighting the Importance of Management Fee Revenue and Its Impact on Product Strategy and Management Company Valuations (Part Two of Two),” Hedge Fund Law Report, Vol. 8, No. 7 (Feb. 19, 2015).