In this article, we will look at 15 of the largest asset management companies in the world. If you want to see more of the world’s largest asset managers, go straight to Top 5 Asset Management Companies in the World.
The asset management company invests the pooled funds for clients. Although hedge funds are perhaps the most popular type of asset management firm, there are many different types of asset managers including those who manage mutual funds, ETFs, and index funds.
Given the volatility caused by the Federal Reserve’s rate increases, the first half of 2022 has been challenging for many in the asset management industry. With high inflation, high interest rates and other factors, global stock indices fell by 20% and fixed income indices fell by 10% in the first half of the year, which represents one of the worst performances for the first half in recent decades.
Amid these challenges, the growth of many asset managers has also faced challenges. As opposed to asset management, asset managers often charge a fee in terms of a percentage of total assets managed. If the markets rise, the total assets under management can go up, and the asset manager can benefit from higher revenue and possibly higher profitability.
However, if markets decline significantly, assets under management may also decline since inflows of organic assets cannot fully compensate for market declines and asset managers may have difficulty meeting market expectations. In fact, the stocks of many asset managers listed on the New York Stock Exchange or Nasdaq in 2022 were not and many of those companies missed earnings per share or revenue growth forecasts.
Despite the challenges, many asset managers have gone through periods of volatility and uncertainty before, and the strongest use those periods to differentiate themselves from competitors and potentially eventually gain more market share.
Despite the volatility in 2022, some asset classes are expected to grow in the long term.
In terms of ETFs, for example, there could be a lot of growth in the area. In particular, Blackrock expects global ETF assets under management to increase from $8 trillion in 2020 to $15 trillion in 2025. The projected growth in ETFs is attributable to more investors relying on ETFs with lower commission barriers and with the use of ETFs. More institutional investors are also investing in fixed income ETFs.
With the expected growth in ETFs in addition to the expected growth in other assets, there is an opportunity for existing asset managers such as Fidelity Management & Research and BlackRock, Inc. (NYSE: BLK) and Vanguard to grow further in terms of AUM. With larger assets under management, managers can achieve larger scale and generate greater profits.
For this list, we used ratings SWFI Institutions are categorized by total assets under management. If the company is publicly listed on the NYSE or NASDAQ, we have also included the number of hedge fund owners in our database that also hold shares as of the second quarter of 2022.
The 15 largest asset management companies in the world
15. Affiliated Managers Group, Inc. (NYSE:AMG)
Assets under management: $777 billion
Affiliated Managers Group, Inc. (NYSE: AMG) is a leading partner of active, independent investment management firms around the world. The affiliates of the Affiliated Managers Group, Inc. (NYSE: AMG) More than 500 investment products across a variety of strategies for institutional and individual clients around the world. In terms of fundamentals, institutional clients accounted for 51% of the company’s EBITDA, high net worth clients contributed 14%, and individuals contributed 35%. As of March 31, 2022, the company’s assets under management were approximately $777 billion.
In August, Deutsche Bank’s Brian Biddle raised its target price to $163 from $154 and maintained the stock’s “buy” rating.
However, due to the decline in the broader markets, shares of Affiliated Managers Group, Inc. (NYSE:AMG) is down 32% since the beginning of the year.
Of the approximately 900 hedge funds in our database, 24 were long funds at Affiliated Managers Group, Inc. (NYSE: AMG) at the end of the second quarter of 2022 with Southeast Asset Management As the best hedge fund owner with over 1.7 million shares.
14. Legg Mason
Assets under management: $804 billion
With assets under management of $804 billion as of 2020, Legg Mason is one of the largest asset managers in the world. However, in 2020, Franklin Resources, Inc. (NYSE: BEN) on the company to form a larger company that can grow faster. Listed by SWFI as one of the world’s largest asset managers by AUM, it is also on our list of the world’s 15 largest asset managers.
13. Blackstone Corporation (NYSE:BX)
Assets under management: $880.9 billion
Blackstone Inc (NYSE: BX) is an investment company that invests across alternative asset classes on behalf of institutional investors such as pension funds. As of December 31, 2021, the company had $880.9 billion in assets under management.
Due to widespread market downturn and market volatility in 2022, shares of Blackstone Inc. (NYSE: BX) by 35% year-to-date. However, some analysts remain optimistic about the long-term.
On August 31, Benjamin Bowdish of Barclays launched an “overweight” rating and a $120 price target on Blackstone Inc (NYSE: BX), citing secular trends in alternative asset management.
61 of the hedge funds we track were Blackstone Inc. (NYSE: BX) long at the end of the second quarter this show Among the top five.
12. Schroders plc
Assets under management: $939.2 billion
Schroders plc is one of the largest investment management firms in Europe and employs more than 5,800 people in 38 locations. As one of the UK’s leading asset managers, Schroders plc provides innovative products and solutions to clients including insurance companies, sovereign wealth funds and institutions. With assets under management of £773.4 billion or $939.2 billion as of June 30, 2022, Schroders plc is also ranked 12th in our list of the world’s 15 largest asset managers.
11. Geode Capital Management
Assets under management: $1 trillion
Geode Capital Management is a regular asset manager that provides base beta exposures across a range of specialized equity and asset classes. As of December 31, 2021, Geode Capital Management had approximately $1 trillion in assets under management, placing it at number 11 on our list of the 15 largest asset management companies in the world. Compared to other companies, Geode Capital Management is relatively new due to its establishment in 2001. The company is a private company but also with extensive employee ownership.
Assets under management: $1.02 trillion
DWS is one of the world’s leading asset management companies with over 60 years of experience. DWS employs approximately 3,600 employees worldwide and provides individuals and institutions with access to their robust investment capabilities across all major liquid and illiquid asset classes. In 2021, the company had $1.02 trillion in assets under management, making it one of the world’s largest investment managers by AUM.
9. Invesco Ltd. (NYSE:Eves)
Assets under management: $1.39 trillion
Invesco Limited (NYSE: IVZ) is a global investment company that offers a diversified portfolio of investment vehicles across major equity, fixed income and alternative asset classes. Effective June 30, 2022, Invesco Ltd. (NYSE: IVZ) on AUM valued at $1.39 trillion, ranking 9th on our list of the world’s 15 largest asset managers.
Due to the decline in the broader market, shares of Invesco Ltd. (NYSE: IVZ) is down 40.5% year-to-date as the market remains concerned about potential interest rate increases.
However, some analysts are optimistic. In August, Brian Biddle of Deutsche Bank raised its price target for Invesco Ltd. (NYSE: IVZ) to $20 from $18 and maintain the “buy” rating.
25 hedge funds in our database had a bullish position at Invesco Ltd. (NYSE: IVZ) at the end of the second quarter with Trian Partners It owns more than 55.7 million shares.
8. Wellington Management Company
Assets under management: $1.4 trillion
The Wellington Management Company is one of the world’s leading independent asset management companies. Founded in 1928, the company has expanded into major international and Asian financial centers and provides its clients with local knowledge and global experience. As of December 2021, the Wellington Management Company had a net worth of $1.4 trillion.
7. Franklin Resources, Inc. (NYSE:The son of)
Assets under management: $1.5 trillion
Franklin Resources, Inc. (NYSE: BEN) is a global investment organization with subsidiaries operating under the Franklin Templeton name. The company has approximately 1,300 investment professionals and serves clients in more than 155 countries. The company offers broad capabilities in fixed income and equity as well as alternatives and multi-asset solutions. Due to its acquisition of Legg Mason, the company had $1.5 trillion in assets under management in 2020.
Due to challenging market conditions, Craig Slegenthaler of Bank of America has downgraded Franklin Resources, Inc. (NYSE: BEN) on Sept. 8 to “Underperform” from “Neutral.” The analyst also lowered the target price to $25 from $28, noting that net flows have deteriorated for two consecutive quarters.
24 Hedge Funds We’ve Been Tracking Long For Franklin Resources, Inc. (NYSE: BEN) at the end of the second quarter of 2022 with Fairfax Financial Holdings You own one million shares.
6. T. Rowe Price Group, Inc. (NASDAQ:TROW)
Assets under management: $1.69 trillion
T. Rowe Price Group, Inc. (NASDAQ:TROW) is a global investment firm that provides a wide range of mutual funds, subsidiary advisory services, and segregated account management to individuals and institutional investors. As of December 31, 2021, T.
Like other public asset managers, shares of T. Rowe Price Group, Inc. have fallen. (NASDAQ: TROW) this year due to tough market conditions. Year-to-date, shares are down nearly 47% and approaching a 52-week low.
27 hedge funds in our database are owned by shares of T. Rowe Price Group, Inc. (NASDAQ: TROW) at the end of the second quarter with AQR Capital Management among the leaders.
Companies such as Fidelity Management & Research and BlackRock, Inc. (NYSE:BLK) and Vanguard are among the world’s largest asset managers.
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Disclosure: none. The 15 largest asset management companies in the world Originally posted on Insider Monkey.