FT article on Cap group

Just recently saw this FT article on Cap group. I was wondering what people thought of the hiring spree the firm embarked on and the fact that the net inflows have been negative or flat since 2016. Does this mean that even the top players in the active investing space are not long-term competitive?

Link: https://www.ft.com/content/7477b542-b4b7-4065-ab01-77428b3607be

2 Comments
 

Thought it was pretty interesting to think about. Is it a viable business strategy for a top tier asset manager to continue focusing on excellent active public equity / FI investing? Or do you have to start doing alts in this environment? I think Dodge & Cox is one example of the former approach working - they've consistently grown AUM despite exclusively doing public value investing. Obviously everyone else is doing alts though. 

 

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