Sun, Jun 24, 2018
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Cerulli finds larger asset managers get bigger on wave of consolidation

Tuesday, September 03, 2013
Opalesque Industry Update - Cerulli Associates' latest report finds that the 50 largest asset managers account for more than US$38 trillion in assets under management as at the end of 2012, a full US$4 trillion more than the year before, even as the biggest firms in the industry continue to enlarge. Eleven money managers have assets in excess of US$1 trillion (compared with nine a year ago), and there are twice as many firms with more than US$2 trillion in assets (four compared with two, previously), with BlackRock still the only global firm with assets in excess of US$3 trillion, according to the Cerulli Associates' flagship report, The Cerulli Report: Global Markets 2013.

Now in its 12th iteration, this annual report covering both retail and retirement asset management globally finds that while the trend for consolidation in the asset management industry is not a new one, "there has definitely been a quickening of pace since the financial crisis," says Shiv Taneja, the firm's London-based managing director for international research. The global financial crisis took US$10 trillion off the table in the space of a few months in 2008, and it also led to a consolidation of the industry as brand and balance sheet took center-stage-benefitting the bigger, capitalized managers. "Big firms can do many good-and not so good-things. Regulators have a huge role to play here, and in their desire to boost investor protection (a good thing) should ensure they do not make it tough on smaller firms," adds Taneja.

While concentration of the asset management industry is most obvious when the data is looked at in aggregate on a global basis, it is also evident when measured at a country level. For instance, six out of 10 selected countries show retail asset concentration levels (of the top 10 managers/record-keepers operating in that country) at more than 70%, while the figure for retirement assets is even higher, with seven out of 10 selected countries showing concentration levels (of the top 10 operators) in excess of 70%, according to new research in Cerulli's Global Markets 2013 report.

Press release

bc

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Paper: The performance of stocks actively pitched by hedge funds[more]

    Using a novel dataset drawn from investment conferences from 2008 to 2013, I show that hedge funds take advantage of the publicity of these conferences to strategically release their book information to drive market demand. Specifically, hedge funds sell pitched stocks after the conferences to ta

  2. North America - US fundraising for special purpose acquisition vehicles hits record this year[more]

    From AFR.com: Special purpose acquisition vehicles (spacs) are hitting the US market at the fastest rate on record, attracting the likes of Goldman Sachs and hedge fund investor Daniel Loeb for the two largest such deals in 2018. Spacs have raised $US4.5bn so far in 2018, the largest amount fo

  3. Investing - Man Group and AQR try to take aim at private equity industry, Hedge funds poised to be winners in AT&T-Time Warner deal[more]

    Man Group and AQR try to take aim at private equity industry From FT.com: The popularity of private equity investments has prompted asset managers such as Man Group and AQR to devise strategies that aim to replicate PE returns but at a much lower cost to investors. Both companies a

  4. News Briefs: David Stemerman's hedge fund holdings shrank before his run for governor, nvestment manager TSW triggers succession plan, Alan Howard joins Peter Thiel investing in Cologne-based fintech startup[more]

    David Stemerman's hedge fund holdings shrank before his run for governor But the U.S. holdings of Stemerman's Greenwich hedge fund, Conatus Capital, shrank from $2.6 billion at the apex to just over $1 billion before he announced his move into politics. (Hartford Courant) Inv

  5. British Empire: Pershing's 23% discount 'unsustainable'[more]

    From Citywire: The wide discount on Pershing Square Holdings (PSH) is 'unsustainable' and puts star hedge fund manager Bill Ackman under pressure, says British Empire (BTEM). Pershing is the third largest holding in the £850 million British Empire trust, managed by Joe Bauernfreund, which sp