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‘Revenge of the value factor’ sees BlackRock, Man, Amundi reap bumper fees

The onset of the pandemic has led to predictions that value stocks will make a comeback, as investors pile into companies they consider best placed to capitalise on the recovery

At the end of June, BlackRock’s performance fees had increased $211m from the first quarter of 2021, helping lift overall revenues at the US fund house to $4.8bn
At the end of June, BlackRock’s performance fees had increased $211m from the first quarter of 2021, helping lift overall revenues at the US fund house to $4.8bn Photo: Jeenah Moon/Getty Images

A sustained period of positive returns during the first half of this year has led to a boom in the revenues generated by some asset managers' best-performing products.

Despite being unpredictable and in some cases unpopular with investors, performance fees have helped to bolster income for active fund houses, which continue to fend off competition from low-cost passive funds.

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