Mutual Fund Assets Top$10 Trillion For First Time
October 30, 2006
Mutual fund assets surpassed the $10 trillion mark for the first time, reaching $10.32 billion, data from Bobroff Consulting and Lipper shows.
Fidelity Investments is, once again, the largest fund company in the nation, with $1.1 trillion of assets and a market share of 10.7%. Vanguard is next, with $1.03 trillion of assets and a market share of 10%. Third up is American Funds, with $1.01 trillion in assets and a 9.8% market share. Collectively, the three giants control 30.5% of the industry's assets, and the top 10 companies control 47%-a far greater concentration than in the past, noted Geoff Bobroff, president of Bobroff Consulting.
Market share then drops off considerably after that, with Franklin Resources, coming in as the fourth-largest fund company in the nation, managing $314 billion in assets, for a market share of 3.1%.
The market share of the remaining six companies on the top 10 list ranges from 2.8% to 2.1%.
During the first eight months of 2006, mutual funds took in net flows of $262.8 billion, $168 billion of that going to equity and fixed income funds. The remaining $94.8 billion was marked for money market funds.
American Funds took in the greatest amount of flows to equity and fixed income funds, netting $46.1 billion or 27% of money invested in those funds. Vanguard reaped $23.9 billion in those categories and Fidelity, $3.3 billion.
(c) 2006 Money Management Executive and SourceMedia, Inc. All Rights Reserved.