There are many important variables to consider when setting up an investment management department within a solicitor's firm, but getting the marketing right is probably the most important.Marketing begins long before the first client signs on.

The choice of fund manager to head the department is crucial to the success of the operation.

His or her investment philosophy has to co-ordinate with that of the partners, who will be asked to proffer their clients.

A cautious long-term investment manager will create tensions if the firm's client base is entrepreneurial and looking for quick trades.

Such tensions will pale when compared with the opposite position: a cautious client base in the hands of a speculative investment manager.This problem might be overcome by persuading an energetic partner to embrace the role by taking the necessary exams.

Growth rates within the Association of Solicitor Investment Managers (ASIM) appear greatest where firms have brought in specialists.Experience is also important in those difficult situations which inevitably ar ise.

Logical solutions do exist to the investment of £1 million at the top of the market, for example, but experience brings points of reference and, incidentally, sleep at night, which is also quite important!There are one or two head-hunters who specialise in providing heads of department and fund managers for solicitor investment managers and ASIM can supply details.Any investment management department must answer the question: who are our customers and what do they want? From this all actions follow.In the formative stages, at least, the fee-earners will be the department's prime source of clients.

Partners will recommend the department only if it is in clients' interests.

The relationship between the department and fee earners must be nurtured as must the direct relationship between the department and the client.

If the latter were soured in any way, that between the client and firm could be ruined, at far greater cost.Tight administration with prompt responses will do more than anything to achieve a good client relationship.

Here, good compliance will help practitioners establish procedures to satisfy both the authorities and the clients.

At first sight the regulations may seem onerous, but we have found that they have helped us to set up good systems and procedures.

In the months before set-up you will find Peter Camp's Compliance Handbook in invaluable guide.Good guidance also comes from the Office for the Supervision of Solicitors (OSS).

ASIM has found the OSS to be helpful in looking over the format of documents such as client agreements and contract notes, for example, before going live.

The OSS also observes and prescribes best practice up and down the country and is happy to advise.Feedback is the key to maintaining the investment department's relationship with fee-earners.

Everything must be included, warts and all.

ASIM copies all client letters and attendance notes to the fee-earner concerned as well as attending regular client reviews.The more that other members of the firm appreciate the investment philosophy, client approach and presence of sound personalised administration, the more they will be willing to recommend new clients.Presentations to other departments within the firm help to break down inter-departmental inertia and create interest.

Taking slots on internal training courses has a similar effect and creates a generation of lawyers conversant with the services of the investment department.Less formal, but perhaps even more effective, is regular MBWA -- management by wandering about.

Talking to people gives the opportunity to provide feedback and reassurance, and also to pick up leads.

Informal meetings over lunch and coffee give similar opportunities.An excellent marketing exercise was ASIM's weekly internal news sheet, giving the central themes in markets, with some company comment.

This was received well, particularly as efforts were concentrated on one page with the stipulation that it should take no longer than one minute to read.

Unfortunately, such brevity took 20% of our time and, reluctantly, we abandoned the project.

Similarly, some firms find that internal fantasy portfolios are an attractive way to spread the word, but again, these are time-consuming.ASIM also believes that every time a member leaves the confines of the investment management department, he or she is an ambassador of the service ASIM gives to its colleagues and clients.

Knowledge of ASIM's activities is buttressed by the information it provides about markets, clients and current campaigns .The success of solicitor investment management depends on ASIM working hand-in-glove with the private client department to provide a seamless service while remaining administratively separate from it.

The private banking market is growing strongly in this country and the combination of private client legal services with financial and investment services gives law firms a powerful advantage.

It is important, therefore, for departments to be situated within or adjoining the private client department.Other firms have ventured down the solicitor investment management road with success and have joined together in the ASIM.

The association runs many training courses on subjects such as compliance, setting up an in-house investment department, effective selling, marketing and technical issues.

Membership of the association and attendance on its courses is a cost-effective alternative to reinventing the wheel.

A unique characteristic is the wealth of advice that is freely available at the various meetings and at the annual conference, which will be held this year at the beginning of June.Good internal marketing is essential to the success of the investment department, helping it to meld with the rest of the firm and to forge strong client relationships.

It is internal marketing which has particularly helped produce excellent growth rates in ASIM firms in recent years.