13th annual ranking highlights that
'Solidity' and 'Client-oriented thinking' distinguish leading
asset managers
NEW
YORK, March 26, 2024 /PRNewswire/ -- The
latest edition of Broadridge's Fund Brand 50 (FB50), an annual
research study by global Fintech leader Broadridge Financial
Solutions, Inc. (NYSE:BR) was released today, highlighting the
world's best-performing third-party asset management brands. U.S.
fund selectors prize solidity and client service as the domestic
giants jostle for position and strengthen their hold on the asset
management industry.
"In 2024, fund selectors and gatekeepers were resolute that
top-choice managers concentrate on services that add value to their
investors, such as keeping them best informed and sharing their
knowledge of the markets," said Jeff
Tjornehoj, Senior Director, Fund Insights, Broadridge.
"Those same selectors also emphasized asset management partners who
help them meet the shifting needs of heterogeneous investors
through development of appealing investment strategies."
The independent study measures and ranks asset managers'
relative brand attractiveness based on fund selector perceptions:
taking into account 10 brand attributes to reveal the top U.S. and
global brands. This is the latest study from Broadridge's Data and
Analytics business and highlights the depth and breadth of the
firm's global market insights.
Top-10 U.S. Asset Management Brands
Rank
|
Fund
Group
|
Change
|
1
|
Vanguard
|
+1
|
2
|
BlackRock
|
-1
|
3
|
Capital
Group
|
0
|
4
|
JPMorgan AM
|
+1
|
5
|
Fidelity
|
-1
|
6
|
PIMCO
|
0
|
7
|
Goldman
Sachs
|
+3
|
8
|
Franklin
Templeton
|
0
|
9
|
Dimensional Fund
Advisors
|
0
|
10
|
First Trust
|
+4
|
Key insights
While no-one new breaches the top five, the major firms jostle
for position, with Vanguard usurping BlackRock's position atop
the ranking. Vanguard was able to maintain first place in the three
highest-ranked brand attributes and duked it out with BlackRock
across the entire brand spectrum. In fact, the two firms split
first place in eight of the 10 categories, with Vanguard winning by
points total.
There was plenty of competition elsewhere in the top ten, as
JPMorgan took fourth, pushing Fidelity down to fifth, as First
Trust took T. Rowe Price's
10th place position.
Homegrown groups continue to dominate the U.S. – in fact they
significantly strengthened their domestic dominance. French firm
Natixis IM remains the highest-ranked non-US brand but fell from
22nd place to 32nd.
2023 was a gangbuster year in U.S. markets. Domestic stocks were
up 24%, international equities up 19.5%, and a well-timed
fourth-quarter rally saved bonds from an unprecedented third
consecutive year of losses as they returned 5.5%.
Last year's uncertain climate saw investors cling to stability
and resulted in stasis in the rankings. This year, investor
confidence returned, and firms sought new ways of differentiating
themselves from their competitors.
Valued attributes
While U.S. fund selectors were less risk-averse than in
2022, they still prized 'Solidity' above all other attributes –
resulting in a consolidation of strength for the domestic giants.
'Stability of investment management team' was also a top-five
attribute, as fund selectors desire stability that extends to the
teams that they work with.
'Appealing investment strategy' ranked third in the list of
desirable attributes. Investors favor asset managers who can offer
a clear and effective strategy for balancing risk and returns. A
well-defined strategy can distinguish a firm from competitors in
the eyes of clients with specific investment approaches or
needs.
Expertise is also highly valued in the U.S. – advisers want to
shift the burden of research onto asset managers. Clients preferred
approachable, knowledgeable fund specialists who can provide
specialized, detailed analysis in a timely manner.
Additional findings from this year's study include:
- US fund flows are dominated by the myriad decisions made by
intermediaries on behalf of individual clients to buy or sell a
fund. To help facilitate this, the industry innovates new products
(model portfolios, interval funds, separately managed accounts,
actively managed ETFs, etc.). Strong equities and fragile bonds
gave asset managers the opportunity to target clients with
communications advising them on how to navigate this changing
landscape. Firms that were able to do so saw their brands
burnished.
- A rush of advisers seeking out private equity and private debt
opportunities helped alternatives manager Blackstone Group jump 57
spots to land in 21st position.
- Fund selectors highly value clear and detailed marketing
materials. In a crowded marketplace, successful managers offer fund
selectors a wide range of new investment products. Effective
communication of the value of these product strategies is as
important to fund selector decision-making as offering a wide range
of products from which to choose.
A webinar is scheduled for March 27,
2024 at 2 PM GMT /
10 AM ET / 10
PM HKT to reveal the top asset management brands in each
region. Registration is available to all at
https://event.on24.com/wcc/r/4510770/F63F5F36B873DEE0FC7D364394198FBE
and is now open.
About the research
The Broadridge Fund Brand 50 report is an annual study
monitoring the influence of brand on third-party fund selection.
The study is based on intensive interviews in Europe, APAC, and the US with more than 1,200
of the most significant fund selectors and gatekeepers – the key
decision makers who choose which funds and groups are added to a
distributor's buy list. Interviewees name their top-three suppliers
across the following 10 brand attributes.
- Solidity
- Client-oriented thinking
- Appealing investment strategy
- Thinks and acts globally
- Stability of investment management team
- Experts in what they do
- Knowledge and understanding of the markets
- Innovation/Adaptation to market change
- Keeping best informed
- Social Responsibility/Sustainability
These answers, as well as commentary from other preference
questions, are collated using statistical analysis and transformed
into a 'Total Brand Score', on which groups are ranked.
Asset managers, consultants, and other industry stakeholders
interested in receiving the in-depth Broadridge Fund Brand 50
analysis can make their request via the Fund Brand 50 information
page.
About Broadridge
Broadridge Financial Solutions (NYSE: BR), a global Fintech
leader with over $6 billion in
revenues, provides the critical infrastructure that powers
investing, corporate governance, and communications to enable
better financial lives. We deliver technology-driven solutions that
drive business transformation for banks, broker-dealers, asset and
wealth managers and public companies. Broadridge's infrastructure
serves as a global communications hub enabling corporate governance
by linking thousands of public companies and mutual funds to tens
of millions of individual and institutional investors around the
world. Our technology and operations platforms underpin the daily
trading of more than $10 trillion of
equities, fixed income and other securities globally. A certified
Great Place to Work®, Broadridge is part of the S&P 500® Index,
employing over 14,000 associates in 21 countries.
For more information about us, please visit
https://www.broadridge.com/.
Media Contact:
Matthew
Luongo
Prosek Partners
+1 646-818-9279
mluongo@prosek.com
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SOURCE Broadridge Financial Solutions, Inc.