Ranking the top Asset Management firms

Obviously it's easy to rank AM firms in terms of their AUM which gives a glimpse into their standing, but how would you rank them in terms of their exit opportunities and overall prestige?

Comments (27)

Best Response
Jun 15, 2017

You would have to break it down by asset class and even strategy within each asset class. There is no such thing as one firm that is #1 across the board. In fact, it is very uncommon for a firm that is strong in one asset class (i.e. public equities, fixed income, real estate, private equity, VC, etc.) to be strong in another. Even within a given asset class, there are often different strategies and areas of focus i.e. EM growth equities, U.S. small cap value, international value, on and on.

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Jun 15, 2017

agree. for example: PIMCO and TCW, absolute creme de la creme in fixed income, but not so much on stocks. of course you have the mega shops like capital group, GSAM, JPM, Legg Mason, but it depends on the asset class and the goal.

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Jun 19, 2017

Would you say that fixed income AM is more about credit than rates? (at least in this current environment)
Rates/FX guy wondering about possible transitions

Jun 20, 2017

it's not either or, it's both and. the strategy you're on will dictate it a lot, but I see where you're coming from, since most alpha today is being generated from credit, not duration.

Jun 20, 2017

So for core strategies, what advice do you can you give to a macro guy trying to learn credit analysis? (I dread accounting)

Jun 21, 2017

https://www.wallstreetoasis.com/forums/how-can-i-l...
this thread just came out, think it pretty well covers the bases.

also read commentary by the big guys: dan ivascyn, michael hasenstab, jeff gundlach, tad rivelle, bill gross, bill eigen, etc.

Jun 20, 2017

No idea how you mention those two while omitting DoubleLine.

"The power of accurate observation is commonly called cynicism by those who have not got it." - George Bernard Shaw

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Jun 20, 2017

I thought the same thing after posting, just never went back to edit, would def put doubleline up there with PIMCO and tcw.

Jun 20, 2017

What about Janus? or did they lose their luster after merging with Henderson?

Jun 20, 2017

Janus is a fine shop, but wouldn't put them on the same tier in fixed income as the ones I mentioned earlier.

Jun 23, 2017

Janus and Henderson are dropping their worst performing funds / throwing those assets into their better funds. If they can mitigate business risk through the merger, which I'm sure they will, they will be a force to be reckoned with (though their new marketing is a bit droll, they should have just stuck with Janus' name and absorbed Hendy).

Compensation is not commensurate with education.

Jun 20, 2017

Jeffrey Gundlach of DoubleLine is awesome, he gives a ton of interviews and presentations with valuable information.

He also made a twitter account at the most recent Ira Sohn conference, but it seems he just tweets about a bunch of random stuff...

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Jun 15, 2017

GSAM vs JPM AM, both fixed income, who wins?

Jun 15, 2017

in my opinion: JPM

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Jun 15, 2017
thebrofessor:

in my opinion: JPM

Would you consider either of them top tier though? Our strength is EM equity, and I view our US FI business as middling to upper middling, and never hear either name mentioned by Sales in FI conversations. (Granted, I'm in US Equity ETFs, so I'm rather removed from the conversation)

I break things internally before we roll them out so people don't break them externally, and find data problems. I also know the story behind every one of our ETF's performance quirks back to inception. Our PMs come to me when they need help.

Jun 20, 2017

thebrofessor, completely agree with you. JPM has a great HY team based in Columbus, well not sure about that anymore since I think there was a mass exodus over the past 1-2 years due to either the MD or the head of the group leaving

Jun 20, 2017

they still have lots of quality people in columbus, I just went to one of their conferences within the past 12 months, plenty of brains there.

Jun 15, 2017

What AM would you say has the best in the following strategies?

  1. High yield special debt Funds?
  2. Emerging Markets - Domestic Currency Small Cap Funds?
  3. Distressed Muni Equity Situations Funds?
  4. Large Intrinsic Value Funds?
  5. Small Intrinsic Value Funds?
  6. Mid-Sized Intrinsic Value funds?
  7. Mid to Large-Sized Intrinsic Value Funds?
  8. Pretty Big, but not THAT Big Intrinsic Value Funds?
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Jun 19, 2017

I'm curious to know if anyone has some insight to this question as well.

Jun 19, 2017

As it relates to high yield / special situations - you want to go to a place with alternative roots, eg Apollo > PIMCO.

Jun 20, 2017

A few of your listed strategies are too specialized.

Distressed municipal would likely be rolled into a distressed firm, likely one with government debt orientation. High yield special debt likely falls in the distressed sector too, or a non-investment grade debt specialist (corporate, government, etc.)

"The power of accurate observation is commonly called cynicism by those who have not got it." - George Bernard Shaw

Jun 20, 2017

Is it not prestigious to be the PM of a passive ETF even if its AUM is >$1bn?

If your fund is in outflows does it ruin your prestige?

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Jun 20, 2017

yes?

Jun 20, 2017

Not necessarily true- if outflow is performance related then YES but if outflow is related to asset class specific performance then i would say no because asset allocation in portfolios continuously change for various macroeconomic reasons

Jun 20, 2017

Is anybody thought my comment was serious....it's not

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Jun 20, 2017

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Sep 26, 2017