American Mutual-Fund Industry Passes $10 Trillion for First Time
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Vanguard Group and American Funds joined Fidelity Investments as trillion-dollar mutual-fund managers in the third quarter, lifting total American assets to more than $10 trillion for the first time and further concentrating assets at the top of the industry.
Gains at Vanguard, based in Valley Forge, Pennsylvania, and American, a unit of Los Angeles-based Capital Group Cos., were driven by strong sales and stock-market gains. Total industry assets reached $10.32 trillion as of September 30, according to a quarterly analysis by Bobroff Consulting Inc.
Boston-based Fidelity, Vanguard and American control 30% of American fund assets, the most since Bobroff began compiling the statistics in 1999. Fidelity held a 10.7% market share, followed by Vanguard at 10% and American at 9.8%.
The 10 largest managers have a 47% market share, and the top 60 manage 91% of the industry’s assets. The Investment Company Institute, a trade group in Washington D.C., listed 347 American fund families in June.
The figures analyzed by Bobroff include stock, bond and money-market assets in mutual funds and annuity accounts. They exclude money managed for institutions such as pensions and endowments. Total fund assets in the survey increased 9.6% from $9.42 trillion in December and 14% from $9.05 trillion in September 2005.
