Recent News & Insights
Last October, London-based Henderson Group announced its merger with Denver-based money manager Janus Capital Group. This past March, two big British firms, Standard Life and Aberdeen Asset Management, agreed to join forces.
Several formidable trends are leading this activity in the asset management business. First, the growth of indexing, or passive, and quantitative strategies have been the recipient of massive and consistent inflows. Second, returns for active managers have been disappointing as few managers have been able to beat their benchmark net of fees and taxes. Third, technological disruptions such as robo-advisors, have impacted firms’ access to distribution channels for their products and services. Fourth, record-low interest rates and controversial monetary policies have sparked a roaring stock market where investors just want exposure.